Romanian Telecom Giant Digi to Take Its Spanish Company Public on the Stock Exchange

Digi, the Romania-based telecommunications giant, has officially announced its intention to take its Spanish subsidiary public (IPO). According to the company's statement, Digi Spain, the Spanish arm, will start trading on the Madrid, Barselona, Bilbao and Valencia stock exchanges. This significant step is considered part of the company's international growth strategy. The public offering process is expected to strengthen the company's capital structure and increase its competitiveness in the İspanya market. The announcement was shared with the public through a press release made on Monday, 29 Haziran, which attracted investors' attention.

The total size of the public offering will cover newly issued shares worth approximately 150 million Euro. In addition, secondary share sales to be made by Digi Romania S.A., the sole shareholder of the Spanish subsidiary, will be included in this process. Global Portfolio Investments, a Spanish institutional investor experienced in the telecom sector and familiar with listed shares, provided a firm commitment of 100 million Euro to the transaction. However, this commitment was contingent upon the company's pre-transaction valuation being a maximum of 1.7 milyar Euro. This guarantee from the institutional investor forms an important foundation for the success of the public offering.

Following the completion of the transaction, Digi Romania will continue to retain control of the Spanish company. Even in the scenario of the full exercise of the 15 percent over-allotment option, the company will maintain at least 75 percent of its shares in Digi Spain. This situation indicates that the strategic guidance of the parent company will continue and its influence over the İspanya operations will persist. Thus, both new capital will be raised and the existing management structure will be preserved. The liquidity brought to the market by minority shareholders is planned to make a positive contribution to the stock valuation.

A significant portion of the net proceeds, which are expected to be generated from the primary public offering and estimated to be around 136 million Euro, will be allocated to infrastructure investments. While these funds will be primarily used to expand the fiber optic network and mobile infrastructure, careful attention will also be paid to managing the company's debt level. Serghei Bulgac, Chairman of the Board of Digi Spain, emphasized that the company has built a unique, customer-oriented model offering affordable and high-quality connectivity. Bulgac also stated that thanks to disciplined execution, they have achieved a remarkable growth rate and are progressing on a clear path for future expansion. These strategic investments are aimed at further increasing the company's market share.

Since its establishment in 2008, Digi Spain has rapidly expanded its operations, reaching a strong position in the İspanya market. Currently, the company has a total of 10.8 million revenue-generating subscriber units, of which 7.3 million are mobile and 2.6 million are broadband. Last year, the company drew attention by becoming the market leader in mobile number portability transactions in İspanya for the fifth consecutive time. On the other hand, the parent company Digi Communication, traded on the Bükreş Menkul Kıymetler Borsası, announced a consolidated revenue of 2.22 milyar Euro for 2025, representing a 15 percent increase compared to the previous year. However, it was also noted that the company closed the year with a loss due to investments aimed at expanding networks outside Romanya and rapidly increasing financing costs.