U.S. Buyout Fund Apollo and JB Capital Eye Bid for Vodafone’s Spanish Unit
Investors Prepare Potential Bid for Vodafone Spain
Apollo Global Management, a buyout fund based in the United States, is teaming up with local fund JB Capital to prepare a bid for the Spanish unit of telecom giant Vodafone, according to sources familiar with the matter as reported by Expansion. This development comes on the heels of British telecom investment company Zegona expressing interest in acquiring Vodafone’s Spanish unit just three weeks ago.
Estimated Value of the Spanish Unit
The Spanish unit of Vodafone could potentially be valued at around 5 billion euros ($5.27 billion), as estimated by Expansion. The telecom company’s CEO, Margherita Della Valle, launched a strategic review earlier this year and expressed openness to “structural change,” indicating a potential sale of the business. In recent years, the Spanish unit has faced fierce price competition in a market dominated by three major telecom operators: Telefonica, Vodafone, and Orange.
Competitive Telecom Landscape in Spain
Vodafone, as one of Spain’s largest telecom operators, competes alongside Telefonica and Orange. The local unit of French telecom company Orange is currently in the process of merging with MasMovil, the country’s fourth largest operator.
Apollo and JB Capital’s Bid Preparations
Apollo Global Management and JB Capital have not yet issued any official comments regarding their potential bid for Vodafone’s Spanish unit. Likewise, a spokesperson for Vodafone in Spain declined to provide any additional information at this time.
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