Linklaters advises CA-CIB on the financing of the roll-out of a new fibre-optic network covering 1.2 million homes in Northern Spain

The MÁSMÓVIL group (which notably includes Euskaltel), a leading Spanish telecommunications company, has successfully closed a c. EUR 500m senior financing at the level of EKT CABLE Y TELECOMUNICACIONES SL, a newly-set-up infrastructure vehicle that will act as passive operator of MÁSMÓVIL’s group FttH network across the Basque Country, Galicia and Asturias regions, where Euskaltel is the leading telecom operator. EKT Cable’s footprint following the roll-out will reach c. 1.2m homes, which will benefit from fibre optic services compatible with the most advanced technologies.

This financing transaction was concomitant with (i) the sale by MÁSMÓVIL of a 51% stake in EKT Cable to a consortium of Spanish investors (including Inveready, Asua Inversiones, Beraunberri and Onchena) and (ii) a junior financing raised at the level of EKT CABLE Y TELECOMUNICACIONES SL’s indirect shareholder.

Linklaters acted as legal adviser to Crédit Agricole CIB as sole arranger, lender and agent. This transaction was led by Linklaters’ Paris office and also involved its Madrid office. The team in Paris comprised Darko Adamovic (partner), Pauline Portos (managing associate), Youssef Berrada (associate) and Morgane Bonnardot (legal intern) for the structuring and financing aspects, and Vincent Poilleux (counsel) for the hedging aspects. The Madrid team comprised of Juan Barona (partner), Javier Martínez Marfil (managing associate) and Adrià Bellver Civera (associate).