Digi has agreed to sell its Fiber to the Home (FTTH) business in Spain for €750 million ($812m) to a consortium led by Macquarie Capital.
The Romanian company confirmed that the deal covers its FTTH network, which currently serves around 4.25 million homes, and is set to grow to six million in the next three years.
The consortium purchasing the assets is made up of Macquarie Capital, Abrdn (formerly Aberdeen), and Arjun Infrastructure Partners.
These investors will combine the infrastructure assets with those of the existing Spanish wholesale broadband network operator Onivia. Onivia was set up in 2019 as Spain's first independent wholesale provider.
For Onivia, the deal means it will be able to provide its network to around 10 million homes across the country.
Digi's FTTH network spans 12 provinces in Spain, across regions in Madrid, Segovia, Avila, Castilla-La Mancha, Comunidad Valenciana, and Murcia.
“With this acquisition, Onivia confirms its position as [the] largest neutral and independent player, enhancing the value-added proposal for our telco customers, increasing coverage, and offering latest XGS-PON technology," said Jose Antonio Vázquez Blanco, CEO of Onivia.
"It is also a fantastic step towards our national end-to-end telco proposal for other market segments such as utilities and alarms.”
The transaction is subject to approval for foreign direct investment clearance and economic concentration merger control.
Digi has ambitions to become Spain's fourth major mobile network operator, and pledged to invest €2 billion ($2.17bn) if it was able to gain access to assets freed up through the merger of Orange and MásMóvil.
The telco was subsequently granted access to the spectrum after MásMóvil agreed to divest spectrum across three frequency spectrum bands to the company. Orange and MásMóvil completed their €19bn ($20.57bn ) merger last month.
Since launching in the country back in 2008, Digi now has over 5.7 million customers in Spain, as of the first half of this year.
The operator offers mobile services through an MVO agreement with Spanish telco Telefónica.
