Vodafone Spain Sees Ownership Change as Zegona Moves In
Spain’s telecommunications sector stands on the cusp of major corporate reorganizations. Beyond the Orange and MásMóvil merger and Telefónica’s stock-market shakeup following Saudi involvement and the anticipated reintroduction of the Spanish state after its privatization era, Vodafone Spain faces a definitive ownership transition. The market is watching closely as a new era begins for the local operator.
British investment group Zegona has reached an agreement to acquire 100 percent of Vodafone Spain for five billion euros. The deal has already cleared the approval hurdle with the National Markets and Competition Commission and now awaits the government’s endorsement to close, under Spain’s foreign investor safeguards for strategic sectors. The completion of the transaction will mark a complete change of ownership for Vodafone Spain while maintaining a defined, ongoing relationship with its former parent company and the global Vodafone group.
As part of the arrangement, Vodafone will sever its direct ownership of the Spanish consumer-facing brands and operations, including the main consumer-facing arm and the low-cost offer brand Lowi. However, the Vodafone Group will preserve a close financial, operational, and commercial link with its former Spanish telcos and with the new owner, ensuring continuity where needed.
Under the contract framework, Vodafone and Zegona have agreed that the Vodafone brand will continue to be used in Spain for ten years under the new ownership. The parent company will also support the deal by providing part of the funding through the purchase of preferred shares in the new entity created by Zegona. In addition, Vodafone will continue providing roaming services and Internet of Things-related solutions to the Spanish operation, via a separate agreement valued at roughly 110 million euros annually. This arrangement effectively positions Vodafone Spain as the largest customer of its former parent’s world-wide portfolio in terms of related services.
El Grupo se queda
The English parent will leave behind its most visible consumer-facing assets in Spain, which will pass under Zegona’s control and form the core of the “new Vodafone” operation. The Vodafone Group, however, will not abandon Spain altogether. It will maintain global-scale activities and teams considered essential to the corporate group, sustaining a workforce that is expected to exceed eight hundred people and may grow toward a thousand next year.
Vodafone’s substantial research and development hub in Spain will remain a pillar of the group. The center in Málaga, currently home to around four hundred thirty employees and projected to reach about six hundred by 2025, hosts the Innovation Hub. This hub manages the group’s commercial operations across twelve countries and focuses on advanced digital services, including the Internet of Things, private networks, Open RAN, edge computing, connected vehicles, robotics, artificial intelligence, cloud computing, and blockchain. The hub’s collaboration with the University of Málaga enhances its role in developing cutting-edge technology and regional talent.
As part of the corporate realignment, 374 staff based in Madrid, previously held within Vodafone Spain but with global responsibilities, will transfer to Vodafone Intelligent Solutions (VOIS), the unit already employing all Málaga staff. This move integrates Madrid’s central team into the broader Vodafone technology ecosystem and aligns roles with the group’s international strategy. The Madrid-based professionals will contribute to global projects related to technology services and networks, maintaining their presence in the capital while joining a structure designed to scale across the group.
Beyond technology services, the Vodafone Foundation remains active in Spain, continuing its mission to boost digital skills among children aged six to twelve. The foundation operates across more than 650 schools through programs like Digicraft, supervised by the Vodafone Group. This ongoing commitment underscores Vodafone’s focus on social impact alongside its business evolution. [Citation: Expansión; Industry briefings].