Spanish Telecoms Get Shakeup From Buyout Vehicle

  • Zegona buying Vodafone unit at what some see as bargain price
  • Spain’s M&A activity could trigger wave of consolidation in EU

A Vodafone store in Barcelona.

Photographer: Angel Garcia/Bloomberg
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Zegona Communications Plc, a little-known buyout firm founded by two former Virgin Media executives, is working to buy and flip Spanish telecom assets in a challenge to incumbents that are already struggling to turn a profit.

The company, formed in 2015 by telecommunications veteran Eamonn O’Hare and ex-Virgin Media colleague Robert Samuelson, agreed to buy Vodafone Group Plc’s Spanish business on Tuesday at what some including Bloomberg Intelligence seeBloomberg Terminal as a bargain price.