France Telecom Mulls Bid for Spain's Yoigo
Published on: 29th Oct 2012
Note -- this news article is more than a year old.
France Telecom's Chief Financial Official Gervais Pellissier has confirmed that the company is likely to place an offer for the Spanish mobile network, Yoigo.
Yoigo is the smallest mobile network in the country, with a 5.6% market share and is majority owned by Teliasonera, who put it up for sale last month.
Teliasonera owns 76.56% of the Spanish mobile network. According to our records, ACS, a construction and services group, has a 17 percent stake, FCC a 3.4 percent stake and Telvent a 3 percent stake.
"Yoigo would be a small acquisition ... so it is probable that we will submit an indicative offer," Pellissier said during the company's recent financial results conference.
The key issue would be Yoigo's 3G license, which would likely have to be surrendered back to the regulator if France Telecom were to buy the company, as its Orange subsidiary already holds a 3G license in the country.
Yoigo was awarded the country's fourth mobile license in 2000 during the height of the 3G licenses bubble. Known at the time as Xfera the company struggled to launch its network and after several shareholders sold their stakes to Teliasonera, the network launched in June 2006.
On a much larger scale, Pellissier also said that the company would consider making a bid for Vivendi's Maroc Telecom, which could cost as much as USD6 billion, although the company already has a mobile network in the country.