Orange completes Jazztel buy-out
Juan Fernandez Gonzalez
| 19 August 2015
Orange Spain has now completed its acquisitionof Jazztel by purchasing the remaining 5.25% of shares in the fibre operator, thus increasing its customer base in an increasingly competitive pay-TV and broadband market.
Orange communicated the move in a stock-market update by EFE. Jazztel is to leave the Spanish stock market from today (19 August).
Even through the French-based telco had agreed the buy-out with most shareholders in June, the squeeze-out conditions detailed in the tender offer prospectus allowed Orange to acquire the remaining 5.25% of Jazztel's share capital belonging to those shareholders who hadn't agreed to the IPO conditions.
Orange, which is the operator with the most growth in Spain during the first half of the year, will now target a fibre-to-the-home (FTTH) customer base of over five million. The company looks to strengthen its convergent offer with TV, Internet and voice through both fibre and mobile networks, in a Spanish market with few, but strong, operators.
Orange also aims to attract more customers to its pay-TV platform, its weakest service in Spain, through a new content package which includes La Liga, thanks to a recent rights agreement with Telefónica.