MasOrange Leads Creation of Spain's Largest Fiber Optic Firm
Deal News | Aug 19, 2025 | Iberian Lawyer
The article discusses the formation of a new fiber optic company, FibreCo, in Spain through a joint venture involving MasOrange, Vodafone Spain, and GIC. MasOrange holds the majority stake at 58%, with Vodafone Spain and GIC holding respective stakes of 17% and 25%. The new entity will oversee a fiber network contributed by both MasOrange and Vodafone, encompassing 12 million real estate units and 5 million customers. FibreCo will operate independently with a capital structure supported by over 5 billion in net debt, predominantly investment grade, with nearly 20 global banks involved in the financing. Additionally, MasOrange plans to acquire Conexus Networks to contribute to FibreCo and will utilize 3.2 billion net proceeds to reduce its debt ratio. The transaction sees legal involvement from Cuatrecasas for Vodafone and Linklaters for MasOrange.
Sectors
- Telecommunications
- Finance
- Legal Advisory
Geography
- Spain – The entire operation of forming FibreCo and the acquisition of Conexus Networks is based in Spain, impacting its telecommunications infrastructure.
Industry
- Telecommunications – The formation of FibreCo signifies a substantial development in the telecommunications industry as it involves creating a major fiber optic network company that will enhance connectivity infrastructure.
- Finance – The transaction's funding aspect, with 20 global banks and an efficient capital structure, highlights significant financial arrangements within this deal.
- Legal Advisory – Cuatrecasas and Linklaters are prominent legal advisors in this deal, handling corporate M&A, competition, and foreign direct investment matters.
Financials
- 5 billion – Net debt financing structure of FibreCo, largely investment grade.
- 3.2 billion – Net proceeds from the transaction used by MasOrange to reduce debt leverage.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| MasOrange | Majority shareholder in FibreCo | Company | A leading entity in the joint venture to create the largest fiber optic company in Spain, holding a 58% stake. |
| Vodafone Spain | Shareholder in FibreCo | Company | A significant contributor to the joint venture with a 17% stake, providing assets to the fiber optic network. |
| GIC | Shareholder in FibreCo | Company | An investment fund holding a 25% share in the joint venture. |
| Conexus Networks | Acquisition Target | Company | The company being acquired by MasOrange to strengthen the infrastructure of FibreCo. |
| Cuatrecasas | Legal Advisor to Vodafone | Company | Provided legal advice on corporate M&A, competition, and foreign direct investment. |
| Linklaters | Legal Advisor to MasOrange | Company | Advised on the transaction, particularly on corporate, tax, and competition aspects. |