Magyar Telekom, a subsidiary of German telco Deutsche Telekom, has sold mobile spectrum to rival telco Yettel in Hungary.

According to Magyar Telekom, the deal will enable it to optimize its frequencies portfolio and increase capacity for its 4G and 5G services.

Financial terms were not disclosed, but Magyar said that the "overall financial impact of the agreement is not expected to be significant."

Magyar stated last week that it has transferred the usage right of 2x5 MHz frequency block in the 2,100 MHz band to Yettel Hungary Ltd. The telco noted that frequency usage right was extended in December 2018 until June 27, 2027.

"The purchase price equals to the book value of the frequency block usage right," said Magyar in a statement.

Completion of the transaction is subject to the National Media and Infocommunications Authority’s approval.

In the same announcement, Magyar confirmed it also signed a 2G mobile access agreement with Yettel Hungary, which it said allows the company to manage its customers’ 2G traffic via services provided by Yettel from January 1, 2026.

Earlier this year, it was reported that Magyar would be reviewing its existing tower infrastructure and base station assets.