MASMOVIL acquires Lebara España
November 21, 2018
MASMOVIL Group has confirmed the acquisition of the mobile operator Lebara España, that will allow the Company to strengthen its commercial position and to continue market growth in Spain’s telco sector.
MASMOVIL will pay a maximum amount of €55 million, including a €50 million cash payment and certain compromises with clients and employees for €2.5 million, having also agreed an earn-out of up to €2.5 million depending on the success of the migration process of the client base to MASMOVIL’s network. The total cash consideration would thus result in an EV/EBITDA multiple of 7.5x presynergies and 2.3x post-synergies, assuming all contingent payments are materialised.
Lebara Spain is a virtual mobile operator that uses Vodafone´s network -an agreement which ends in the second quarter of 2019 – specialised in the prepaid segment, mainly to immigrants. The company, which registered revenues of €50 million in the last twelve months, has more than 420.000 pre-paid customers with a high level of loyalty.
“This operation is very important for us because it allows us to reinforce our leadership in a market segment where we already had an important position with our brand Llamaya”, said Meinrad Spenger, CEO of MASMOVIL Group. “The customers of Lebara Spain will soon enjoy the advantages of being part of MASMOVIL Group and of the most satisfied customers in the Spanish market.”