By Adria Calatayud


Orange will receive around 4.4 billion euros ($4.77 billion) from a planned merger of its Spanish business with MasMovil, the companies said Tuesday.

The telecommunications companies closed the deal on Tuesday and, based on preliminary closing accounts, proceeds from the deal will be around EUR4.4 billion for Orange and about EUR1.65 billion for MasMovil shareholders, they said.

The companies had previously said the combined entity would have an enterprise value, including debt, of EUR18.6 billion.

The joint venture--the largest telecom operator in Spain by customers--is expected to generate annual synergies of more than EUR490 million by the fourth year after completion, the companies said. They had previously put that figure at more than EUR450 million.

MasMovil Chief Executive Meinrad Spenger will take the helm of the new company, while Orange France Chief Executive Jean Francois Fallacher has been appointed as nonexecutive chairman, the companies said.


Write to Adria Calatayud at adria.calatayud@wsj.com


(END) Dow Jones Newswires

03-26-24 0956ET