The latest Digi Espana credit line agreement is here!
Digi Espana obtains new funds to accelerate its expansion process in the country and its own network strategy.
Digi Spain has just closed an agreement on the credit line agreed in July for which it will have an additional line of 128 million euros, according to Cinco Días.
The parent company of the group's Spanish division, Digi Communications, has RCS & RDS as the original guarantors and ING Bank as the leader of a syndicate of banks. The new line will be in force for the next 5 years, until June 30, 2027. It will be used for investments in capital goods and corporate purposes, according to the same medium.
To date, it had 2 other credit lines, for 57 and 65 million euros, and a revolving - revolving credit account - for a combined amount of 10 million in the same currency.
Digi Espana credit line agreement
The figure is a new boost to the Romanian group's expansion plan, which arrived in Spain in 2007 with a wholesale agreement with Movistar to be able to use its networks, and which is eating up the market of large ocean liners.
His strategy was to enter the market little by little and market himself in nearby stores. But at the end of 2021, it was already offering its own fiber with a speed of 10 Gbps (gigabytes per second), which made it the first operator to market a tariff with these characteristics and at a significantly lower price than that of large operators.
To date, Digi uses Telefónica's network in Spain. Although its own network strategy continues, especially where it has a relevant number of clients, it continues, according to Cinco Días. After its launch, the beneficiaries were Madrid, Barcelona, Castellón, Valencia, Alicante, Almeria, Granada, Murcia, Seville and Zaragoza.
Digi Espana credit line agreement data
This July it has led the portability after adding about 34,000 new accesses, thanks to which it has already exceeded 4 million customers in the country.
Its revenues in the first quarter exceeded those of the previous year by 42%, to a total of 110.7 million euros. At the end of March 2022, it totaled 3.98 million lines (3.21 of mobile telephony, 575,000 of fixed broadband banking and 196,000 with fixed telephony), about 1.1 million more than on the same date of the previous year.
To boost its strategy, according to the financial results presented to investors, the operator has also increased its operating expenses for interconnections and salaries. During the period, Digi has expanded its workforce by 500 people and already has 4,500 workers on the payroll in total - 2,000 more employees than a year ago.
Digi Espana credit line agreement summary
- Digi España obtains new funds to accelerate its expansion process in the country, where it already has 4 million customers, according to Cinco Días.
- The proceeds will go to investments in capital goods and general corporate purposes.
