This Tuesday, the Council of Ministers approved the last procedure to give way to the merger between Orange and Más Móvil. As La Vanguardia reported, the Government has required the new company to have a medium and long-term infrastructure investment plan, as explained by the Minister for Digital Transformation and Public Function, José Luis Escrivá, during the press conference after the council. of ministers.
“The sector is strategic because it deploys and operates digital infrastructures of utmost importance on which the country's competitiveness depends,” Escrivá explained to justify the Government's decision.
The minister, on the other hand, has refused to report on the amount of these investments, arguing that it is a "strategic matter for the new company and that reporting on it would give clues to the rest of the competitors."
According to this explanation, it is an “ambitious medium and long-term” industrial plan that will involve “investments in mobile and fixed infrastructure and network management commitments to guarantee the deployment of services for citizens for the deployment of 5G infrastructures.” , 5G and 6G. And it will also have "important commitments to maintain employment."
“With this plan we ensure that the technological development of Spain is guaranteed. We have worked together with both companies to design that this plan meets the requirements that all parties have considered necessary,” said José Luis Escrvá.
The merger agreement gives the new company a value of 18.6 billion euros and provides an estimated revenue of 7.4 billion euros, as well as an operating result before taxes of more than 2.3 billion euros. The synergies derived from the merger will amount to more than 450 million euros annually starting in the fourth year after the closing of the operation.
With this decision, the first Spanish telecommunications operator to surpass Telefónica in volume for the first time in history is created in Spain. The new Orange and MásMóvil will serve 7.3 million broadband customers, more than 30 million mobile services and more than 2.2 million television customers. For now, Telefónica continues to maintain leadership in billing.
