Orange moves M&A team to Spain to consider options
French teleco Orange has transferred a team of M&A experts from Paris to the Spanish capital Madrid to analyse the market, Expansion reported, without citing sources. According to the report, Orange is in discussions with analysts about options to consolidate its business in Spain.
The Spanish cable operator Jazztel (JAZ:SM) is Orange's most obvious target, but given the company's current market capitalisation – it closed at EUR 2.665bn on Tuesday from EUR 1.2bn in January 2013 – Orange is considering an all-paper acquisition, the paper said. An alternative would be merging Orange's Spanish unit with Jazztel, in a cash and paper deal, the Spanish-language report said.
Orange could also continue as a standalone company and develop its own fiber network, the report said, or strengthen its mobile telephone business with the purchase of the Swedish TeliaSonera's Spanish unit Yoigo.
As reported, Orange has appointed Bank of America Merrill Lynch to advise on the strategy in Spain.
Source Expansion