Report by Renta 4
Telefónica (TEF) has reached an agreement to acquire LineoX from the Asterion Industrial Partners fund.
LineoX is one of Spain’s leading rural radio link operators and provides critical infrastructure for mobile connectivity.
Telefónica sold LineoX to Asterion in 2020 through a carve-out transaction. Since then, Asterion has been developing LineoX independently, with Telefónica as its anchor client.
The transaction value is estimated to be around €90 million.
Assessment: Positive news. This transaction improves infrastructure and strengthens Telefónica’s position in rural areas of Spain by enabling it to control critical capabilities for its network. We do not expect a significant impact on the share price.
Recommendation: Buy €4 per share
