TeliaSonera Said to Revive Sale of Spanish Mobile Unit Yoigoby , , and
Masmovil, private-equity firms interested in Yoigo business
Potential sale could fetch as much as 500 million euros
Teliasonera AB is reviving plans to sell its Spanish mobile-phone unit Yoigo SA after receiving interest from local telecommunications provider Masmovil Ibercom SA as well as private-equity firms, according to people with knowledge of the matter.
A sale of Yoigo could fetch about 500 million euros ($567 million), the people said, asking not to be identified because the discussions are private. One or more buyout firms may bid alone, or by teaming up with Masmovil, the people said. No final decision has been made and Stockholm-based TeliaSonera could still decide against a sale, the people said.
Representatives for Masmovil and TeliaSonera declined to comment.
In 2012, TeliaSonera halted the sale of Yoigo after failing to attract offers that were high enough. Vodafone Group Plc and Orange SA were said to have weighed bids that valued Yoigo at more than 700 million euros at the time. Last year, Jazztel Plc held talks with TeliaSonera over a possible offer for Yoigo before agreeing to sell itself to Orange for 3.4 billion euros.
TeliaSonera owns about 77 percent of Yoigo. Other shareholders include Spanish construction companies Actividades de Construccion & Servicios SA and Fomento de Construcciones & Contratas SA, and Schneider Electric SE’s Telvent GIT SA unit. Beyond Spain, TeliaSonera said last month it plans to exit Asia and ex-Soviet markets that account for almost a third of the company’s earnings.
In August, Masmovil acquired broadband assets from Orange that allow it to deliver fiber optic services to about 720,000 households in Spain. The sale was part of the remedies requested by the European Union to approve Orange’s takeover of Jazztel.