Telefónica Czech Republic closes in on Vodafone deal

Telefónica’s Czech unit is nearing conclusion of a deal which would see it share infrastructure with rival operator Vodafone, according to local reports.

Potential terms of the arrangement would see Vodafone pay Telefónica Czech Republic €40 million, and could save the Czech operator an estimated €152 million over the next 15 years.

Hany Farghali, spokesman for the company, told Reuters it was exploring “a multitude of options”.

“However, we do not have any binding network sharing agreement with any party apart from...[T-Mobile],” he said.

Telefónica Czech Republic has held a network sharing agreement with Germany’s T-Mobile since 2011, but the deal with Vodafone would be considerably larger.

A successful sale would boost Telefónica Czech Republic which, earlier this year, was being eyed for acquisition by Russian billionaire and owner of MTS, Vladimir Evtushenkov.