May 20, 2024 12:16 am
Government acquires 3% of Telefónica’s capital as it enters as shareholder

The State Industrial Participation Company (SEPI) has acquired a 3% stake in Telefónica, following the Government’s approval to enter the company’s capital. SEPI, a shareholder committed to remaining invested, aims to provide Telefónica with greater shareholder stability to help achieve its objectives and protect strategic capabilities. This stake consists of 175 million shares valued at approximately 700 million euros based on market prices.

Telefónica views SEPI’s interest as a testament to its leadership and attractiveness in both telecommunications and the new digital era. The investment is justified by Telefónica’s industrial capabilities, particularly in areas like security and defense. CaixaBank has reduced its stake in Telefónica to 2.5% by selling a portion of its shares, while the La Caixa Banking Foundation, through Criteria, has been increasing its position. Isidro Fain, vice president of the group’s Board of Directors, is expected to extend his long-standing relationship with the company.

The reduction in CaixaBank’s ownership weakens the so-called “Spanish core” in Telefónica, which includes BBVA and the Catalan bank. The Government plans to strengthen this group by acquiring 10% of the company through SEPI. Despite uncertainty surrounding the operation due to budget constraints, the increasing share price of Telefónica suggests growing investor interest in the company.

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