Euskaltel begins national expansion

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Basque-country-based telco Euskaltel has started its national expansion, breaking into Catalonia and shortly into other Spanish regions including Leon, La Rioja and Cantabria.

The company has allied with RACC to create RACCtel+, a convergent package (broadband, mobile & fixed telephony and TV) aimed at 600,000 RACC homes. Euskaltel has also entered into an alliance with Orange to use its network in Catalonia that may be replicated in other parts of Spain.

This is the first move in its national expansion. UK firm Zegona’s takeover of the company has brought the expansion plan to Euskaltel and will bring to Spain the Virgin brand.

Zegona expects to complete the Euskatel acquisition in February, controlling 29.9 per cent of the company. A reshuffle in the management team is inevitable, with Jose Miguel García, former CEO of Jazztel, named as the first manager of the company.


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