Orange and Masmovil Receive Clearance for Joint Venture in Spain

Orange and MASMOVIL have today obtained clearance from the European Commission to combine their operations in Spain, forming a 50-50 joint venture (JV) co-controlled by Orange Spain and MASMOVIL (LORCA JVCO). This deal will create a single operator with the scale to invest in 5G and fiber, benefiting consumers and businesses across Spain. Orange said this transaction does not include TOTEM Spain and MASMOVIL Portugal.

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Also Read: Masmovil Extends 5G Coverage, Now Available in 2,217 Spanish Localities

Nationwide Coverage and Infrastructure Investment

The combined operator would serve over 7.3 million fixed customers, over 30 million mobile service users, and over 2.2 million TV customers. Mobile services in Spain include prepaid, contract, and mobile broadband voice and data packages.

Financial Projections

The combined entity will manage network and IT assets to ensure nationwide coverage in FTTH and 4G/5G. Financially, the venture is projected to generate revenues exceeding EUR 7.4 billion, with an EBITDAaL of over EUR 2.3 billion and an enterprise value of EUR 18.6 billion.

Spectrum Divestment

As reported earlier by TelecomTalk, as part of the merger under a remedy package, 60 MHz of spectrum assets will be divested to Digi, pending approval from the Spanish Government, and an optional national roaming agreement at market conditions will be proposed.

Also Read: Digi Spain Officially Rolls Out 5G Services for All Customers

Orange commented: “Today’s announcement is a crucial moment for the future development of the Group in Europe. Our proposed Joint Venture with MASMOVIL will create a single, stronger, and more sustainable player in Spain.”