„The Company would like to inform the market that on 11 December 2023 Digi Spain has concluded a spectrum transfer agreement with respect to the transfer from Xfera Móviles, S.A. (part of MasMovil Group in Spain) and acquisition by Digi Spain of the spectrum licenses for the private use of the radioelectric public domain related to certain sets of blocks of frequencies (2 x 10 MHz in the 1,800 MHz band, 2 x 10 MHz in the 2,100 MHz band and 20 MHz in the 3,500 MHz band) (the “Spectrum Licenses”) for a consideration of EUR 120,000,000, which includes a conditional component of EUR 20,000,000 (the “Spectrum Transfer Agreement”),” reads the company’s report.
The Spectrum Transfer Agreement has been concluded in the context of the merger control proceeding directed by the European Commission (Case M.10896 – OSP/MásMóvil/JV) for the approval of a concentration whereby Lorca JVCo Limited and Orange, S.A. shall create and acquire joint control over a full function joint venture comprising their respective Spanish telecommunications operators, according to Digi.
In the same context, Digi Spain and Orange Espagne, S.A.U. concluded on the same date an option agreement whereby the latter grants Digi Spain the option to enter in the future into a national roaming service agreement (the “Option”) for the provision by Orange Espagne, S.A.U. to Digi Spain of a wholesale mobile electronic communications service, which would allow Digi Spain to access all available technologies in the mobile network of Orange Espagne S.A.U. or its affiliates, including MasMovil Ibercom S.A.U., in Spain.
The transfer of the Spectrum Licenses and the grant of the Option are subject, among others, to the completion of the transaction between Orange and MasMovil, which requires the approval of the European Commission.
Digi has a RON4.22 billion capitalization. In 2023, its shares have climbed by 34% amid RON225 million.
(English version by Catalina Apostoiu)