According to unnamed people who know the situation, American buyout firm Apollo Global Management is preparing a proposal alongside local fund JB Capital for the Spanish division of telecom giant Vodafone (VOD.L).
Three weeks after British telecom investment company Zegona (ZEG.L) announced that it was in negotiations with Vodafone to purchase the Spanish subsidiary, word of a prospective proposal broke.
Expansion calculated that the firm may be valued at up to 5 billion euros ($5.27 billion).
Earlier this year, Vodafone CEO Margherita Della Valle ordered a strategic assessment of the Spanish division. She said in May that she was open to “structural change,” suggesting that a sale would be possible for a company recently facing fierce pricing rivalry.
Along with Telefonica (TEF.MC) and Orange Spain (ORAN.PA), Vodafone is one of Spain’s top three telecom providers. The fourth-largest operator, MasMovil, and the former are now combining.
Requests for comment from Apollo and JB Capital were not immediately fulfilled. A Vodafone representative stationed in Spain declined to comment.
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