Renta 4 : The 13,000 employees linked to the Agreement of Linked Companies will receive a 7.8% raise in 2023 plus another €300 in October. This rise corresponds to the adjustment over the period 2019/2022, when the CPI had an accumulated rise of 12.5% and salaries rose by 6.5%, and to a rise of 1.5% in 2023. Work is also underway to update the salaries of non-agreement staff, which includes…
Bankinter| Telefónica will close 5,800 exchanges that serve landlines and broadband via ADSL between 2023 and 2024, and will replace them with fibre optic exchanges. After the process, Telefónica (TEF) will have ~3,000 fibre-optic exchanges that will replace the ~8,000 that made up the copper network. Opinion of Bankinter’s analysis team: The programme, although planned, accelerates the cost savings and efficiency gains of running a single, more robust fibre network….
Bankinter | The European Commission (EC) has authorised the entry of Vauban Infrastructure Partners and Crédit Agricole in Telefónica’s rural fibre optic affiliate. The company, called Bluevia, will have the 3.5 million premises which has the group’s fibre optic and will roll out an additional 1.5 million fibre optic connections in the next two years. Bluevia will also signs provision of services contracts with Telefónica. The consortium formed by Vauban and CA…
Telefónica has placed a new €750mn green hybrid bond with a coupon of 7.125% and a call option exercisable between August and November 2028. At the same time, Telefónica has launched an offer to exchange any and all of the €1.5bn still outstanding on the two hybrids with calls in March and September 2023. Thus, by redeeming all of the outstanding bonds, Telefónica will reduce its outstanding hybrid balance by…
Telefónica today presented results marked by accelerating revenue growth, which increased in the third quarter to €10.343 billion, 11.2% more yoy. A performance that has enabled the Group to achieve a net income of €1.486 billion in the first nine months of 2022. The results obtained make it possible for Telefónica to confirm the financial targets for 2022, revised upwards in the previous quarter. Telefónica also confirms the shareholder remuneration…
On Net Fibra, the subsidiary created in Chile by Telefónica and US fund KKR on the basis of the network built by Telefónica’s subsidiary, has acquired a fibre-to-the-home (FTTH) network from Entel, Telefónica’s main rival in Chile, for some EUR 365 million, according to Expansión newspaper. The transaction, which is pending approval by competition authorities, is an important reinforcement for On Net Fibra’s business in Chile. The network sold by…
Link Securities | Telefónica is considering revising its current strategic plan via which it created Telefónica Tech and Infra (amongst other decisions). Sources familiar with the operation confirmed this to news agency Europa Press on Monday, after it had been advanced earlier by El Confidencial.com. Telefónica wants to adapt the plan to the macroeconomic context of high inflation. The Spanish telco has hired McKisey&Company to carry out an analysis, the…
The Spanish telecos operator is progressing with its strategy of divestments in Latin America, with its Peruvian network currently in focus. According to today’s Expansion, citing market sources, Telefónica is on track to sell a majority stake in PangeaCo to US risk capital firm KKR. No financial details of the operation were provided. PangeaCo is the company which manages Telefónica’s fibre optic business in Peru. In the opinion of Bankinter:…
Vauban and Predica, which submitted their binding offer for the asset on Tuesday 19 July, had made the best proposal and had been negotiating since Thursday to iron out the details of the deal. The price of 1,021 million euros paid by the buyers for 45% of the capital values 100% of the company at US$2,561 million, which Telefónica says is “an implied multiple of 27.1 times the company’s pro…
Telefónica España workers have almost unanimously rejected the proposal to voluntarily opt for a four-day working week, which entailed a corresponding pay cut, although the company compensated with a 20% bonus. With just four days left before the deadline to join the plan, barely 1% of the workforce has signed up, according to EL PAÍS today, citing sources in the negotiations. The main reason for this lack of interest on…