Cuatrecasas, Gonçalves Pereira advised Telia on selling Yoigo to MásMóvil in a transaction valued at €612 million plus €100 million in variables. This finances the transaction and restructures the total debt of the group resulting from the recent acquisition of Pepephone.

With 5 million users, the new group will be the fourth Spanish mobile telephone and fixed broadband operator in number of clients. It will also increase its mobile telephony operating margin, enabling it to stop being a mobile virtual network operator. According to forecasts, the new group could invoice over €1 billion.

Yoigo gained a net profit of millions of euros in 2015, the first year with positive results since its launch in 2006. TeliaSonera, the majority shareholder together with ACS, accepted MásMóvil’s purchase offer after nine months of negotiations with the Scandinavian company, whose shareholders comprise several capital venture funds including Gala Capital, Inveready Seed Capital and Providence.

The teams participating in the transaction comprised Corporate Mergers and Acquisitions led by partner Federico Roig; Technology, Media and Telecommunications led by Paul Hitchings; and Competition and EU Law led by partner Andrew Ward.