Zegona lays out capital allocation framework
September 24, 2026



Zegona Communications has set out its capital allocation framework and announces a €400 milliom return to shareholders, comprising a €200 million ordinary dividend and a €200 million share buyback.

“The framework establishes a clear and durable structure for investment in the business, balance sheet priorities and shareholder returns. It reflects the completion of the first phase of the Vodafone Spain transformation, the reduction in leverage and cost of debt achieved since acquisition, and the Board’s confidence in the growth of free cash flow from here,” said the company.


Eamonn O’Hare, Chairman and CEO of Zegona, commented, “Today’s announcement marks an important step in the evolution of Zegona. Since the acquisition of Vodafone Spain two years ago, we have built a stronger, simpler and more cash-generative business and are now in a position to set out a clear and disciplined framework for capital allocation. The significant reduction in leverage and cost of debt, together with the growing free cash flow, has resulted in a much stronger and more efficient capital structure. It is our ambition to return all of our free cash flow to shareholders as quickly and efficiently as possible to maximise long term value. Building on the €1.6bn of shareholder returns executed earlier this year, today’s announcement returns an additional c.10% of Zegona’s market capitalisation. The progressive dividend signals our confidence in the sustainability of our future cash flows, and the buyback is a message that we are determined to take action to close Zegona’s material valuation discount to industry peers.”