Telefonica S.A.(TEF)- NYSE
  • Wed, Feb. 10, 11:43 AM
    • Telefonica (TEF +2.3%) is the latest telecom to separate its network assets, spinning them off into a company called Telxius.
    • The new firm will initially hold about 15,000 towers in Spain and elsewhere, and a fiber network reaching to 31,000 km. Telefonica might incorporate third-party assets in the company as well.
    • It could lead to a sale or market listing for Telxius, and in the coming months other newly created companies will be gradually integrated into the spinoff. The new company will be run by Alberto Horcajo, named CEO.
    | Wed, Feb. 10, 11:43 AM | 1 Comment
  • Fri, Feb. 5, 4:26 PM
    • Mexico is giving clearance to AT&T (T +1%) and Carlos Slim's America Movil (AMX -2.4%) to take part in a wireless spectrum auction there.
    • The sale process will begin Feb. 15. IFT, the country's telecom regulator, says the two companies can put in bids for 80 MHz of spectrum in a pair of bands: 1710-1780 MHz, and 2110-2180 MHz.
    • The two companies are also competing with Telefonica (TEF +1.1%) in Mexico's tender for a large wholesale mobile network.
    | Fri, Feb. 5, 4:26 PM
  • Fri, Jan. 29, 2:10 AM
    • Only a couple of years late, Mexico today begins a tender for a large wholesale mobile network originally planned as part of the reforms targeting the dominance of Carlos Slim's America Movil (NYSE:AMX).
    • The winner will have to create a network costing several billion dollars and covering at least 85% of the population -- about 45% of Mexicans have mobile broadband, and only 22% of mobile data goes through 4G LTE networks -- but would get cheap use of high-quality 700 MHz spectrum and a 20-year public-private partnership to build a 4G LTE network that others would rent.
    • The government has decided, however, that the winner won't be able to sublet spectrum -- a freedom that America Movil, Telefonica (NYSE:TEF) and AT&T (NYSE:T) would prefer to have.
    • Mexico will help out with costs by making sites on its buildings available for rent, but to make the venture profitable, skeptical mobile operators will need to agree to become clients on the new network.
    | Fri, Jan. 29, 2:10 AM | 3 Comments
  • Thu, Jan. 28, 7:38 PM
    • Telefonica (TEF -0.8%) is going to offer early retirement to employees, and will take a corresponding charge of €2.9B upfront for a move that should save money in the long term.
    • Some employees will have access to the voluntary plan immediately. The company expects to save €370M on average annually starting in year two, after a positive impact of some amount in the first year.
    • The debt-laden carrier is trying several initiatives to reduce its overall level closer to €31.7B, from the €49.7B it reported in September.
    • Shares are up 1.3% after hours.
    | Thu, Jan. 28, 7:38 PM | 2 Comments
  • Tue, Jan. 26, 3:34 PM
    • French billionaire Xavier Niel is considering creating a new mobile operator in the UK by moving in with his Iliad carrier (OTCPK:ILIAY -1%) -- but that could be a tough battle with a strong domestic market.
    • He's approached regulators to see about acquiring assets that would be divested as part of the £10.25B merger between Three UK (OTCPK:HUWHY) and O2 (NYSE:TEF), the Financial Times reported.
    • And while the EC might welcome new competition, the UK marketplace has tightened considerably. In addition to its four (soon to be three) carriers, it supports a number of virtual network operators like Virgin Media and niche players, which might be a roadblock for an offer like Iliad's low-cost Free Mobile unit in France.
    • Niel wouldn't be the only one hunting assets divested in the merger, either. Sky (OTCQX:SKYAY) is working on its own MVNO and could present bidding competition.
    | Tue, Jan. 26, 3:34 PM
  • Fri, Jan. 15, 7:18 PM
    • Telefonica (TEF -3.5%) is expressing interest in buying Latin American assets from AT&T (T -0.9%) that could come to $10B in value, Reuters reports.
    • AT&T acquired the pay TV assets in its acquisition of DirecTV last year, and CEO Randall Stephenson said in December that the company would consider selling them but was in "no rush" and would be patient.
    • A source told Reuters that other parties were interested in specific country assets -- AT&T acquired services in Brazil, Colombia, Venezuela and Argentina among other countries -- so AT&T could run multiple sale processes and deal with a company like Liberty Global (LBTYA -4.7%).
    • Meanwhile, Telefonica has been making portfolio changes but against some €50B in debt (about $54B). It's looking to sell Spanish infrastructure and agreed to sell its O2 business in the UK to CK Hutchison holdings for $15B.
    | Fri, Jan. 15, 7:18 PM | 4 Comments
  • Tue, Jan. 12, 6:38 PM
    • Telefonica (NYSE:TEF) has agreed to pay €2.4B (about $2.61B) for Spanish soccer broadcast rights -- an important catch-up to rivals Vodafone (NASDAQ:VOD) and Orange (NYSE:ORAN), which already show the games.
    • The company is paying for rights to Spanish first division and two other tournaments for three years starting with the upcoming season, and it will also show the European Champions and UEFA leagues on its Movistar brand.
    • BeIN Sports will join Telefonica's pay TV service based on a partnership with Mediaproduccion SLU, which is selling the rights. Telefonica now controls about 85% of Spain's pay TV market.
    • Elsewhere, Telefonica got a €14.00 price target from JPMorgan. Shares closed up 0.2% to €9.49 in Madrid, implying 48% upside in the target. JPMorgan rates the stock a Buy.
    • Shares are -0.3% after hours in U.S. trading.
    | Tue, Jan. 12, 6:38 PM
  • Mon, Jan. 11, 2:21 PM
    • Telefonica (TEF -0.8%) is beginning a spinoff process for its domestic infrastructure unit with a sale targeted for July, Reuters reports.
    • The company is pursuing a "dual track" process, looking to list or make a trade sale by then. "The process has started, the new unit will be formally registered very shortly and Telefonica wants to move quickly on those plans," a source told Reuters.
    • Telefonica would place the 11,500 towers it owns in Spain into the unit, along with some subsea cabling and data centers. It had previously sold more than 1,000 towers to Cellnex a few years back.
    • The unit could be valued between €5B and €6B, but if Telefonica adds in towers owned by subsidiaries in other countries in the future, it could be worth more than €10B.
    • "The upside would be that it could help cut debt, monetize some assets and add value," says Kepler Cheuvreux analyst Javier Borrachero, with an eye toward Telefonica's €50B in debt. "On the downside, you can be sending the message that you are in need of doing something and you're more under pressure than people had hoped."
    | Mon, Jan. 11, 2:21 PM | 1 Comment
  • Fri, Jan. 8, 9:23 AM
    • Telefonica (NYSE:TEF) is up 0.5% in premarket U.S. trading after a price target update from Barclays.
    • The bank has a €12.20 target on shares, which are trading currently in Madrid at €9.82, implying 24% upside.
    • The company also got an €11.30 target from analysts at Independent Research, who rate the stock Neutral (as does Barclays).
    • Earlier in the week, the stock got a €9.60 target from a Neutral Berenberg Bank.
    • The company is expected to release its full-year earnings results on Feb. 26.
    | Fri, Jan. 8, 9:23 AM | 2 Comments
  • Dec. 18, 2015, 3:27 PM
    • Telefonica (NYSE:TEF) is off in U.S. trading, down 3.3% and setting a new 52-week low, after Morgan Stanley's issued a downgrade to Underweight.
    • The firm put a price target of €13.50 on the shares. Telefonica closed down 3.4% in Spanish trading, to €10.38; shares closed there yesterday at €10.66, implying a still-healthy 27% upside in the target.
    • Shares have fallen nearly 24% over the past six months; and dropped 10.9% over the past month.
    | Dec. 18, 2015, 3:27 PM | 4 Comments
  • Dec. 18, 2015, 10:25 AM
    • Mexico's regulator has signed off on some frequency swaps and a spectrum rental between AT&T (T -0.3%) and Telefonica (TEF -3%).
    • The country's Federal Telecommunications Institute -- created as part of regulatory reform to spur competition with dominant firm America Movil (AMX -1.5%) -- OK'd the deal that will allow AT&T to use airwaves in the 1.7/2.1 GHz frequency band in some areas, while Telefonica can use it in the 1.9 GHz band.
    | Dec. 18, 2015, 10:25 AM | 6 Comments
  • Dec. 4, 2015, 11:33 AM
    • The European Commission has rejected the UK's request to examine the combination of Three UK and O2, proposed to create Britain's biggest mobile operator.
    • UK antitrust authorities had argued they were in a better position to probe Hutchison Whampoa's (OTCPK:HUWHY) £10.3B bid to combine its Three unit with Telefonica's (TEF -1.2%) O2.
    • "The Commission concluded that, given its extensive experience in assessing cases in this sector, it was better placed to deal with the transaction and ensure consistency in the application of merger control rules in the mobile telecommunications sectors across the European Economic Area," said an EC official.
    • Previously: UK delays spectrum auction to allow for Three/O2 merger (Dec. 03 2015)
    | Dec. 4, 2015, 11:33 AM
  • Dec. 3, 2015, 11:28 AM
    • UK telecom regulator Ofcom is delaying its next spectrum auction, leaving time for the European Commission to weigh in on the merger of Three UK (OTCPK:HUWHY) and O2 (TEF +1.1%).
    • The two firms had asked Ofcom for the delay of the sales of airwaves in the 2.3 GHz and 3.4 GHz bans, which the regulator says it's undertaking for "reasons of good public administration."
    • Plans were to start the auction process this month and execute the sales in early 2016; with the EC expected to rule on Three/O2 by mid-May, the auction may be delayed to later next year. It has a reserve price of £70M (about $105M).
    • At October's end, the EC opened a full probe into the merger, which would create Britain's biggest mobile operator.
    • Previously: Europe opens full probe into Telefonica-Hutchison UK mobile merger (Oct. 30 2015)
    | Dec. 3, 2015, 11:28 AM
  • Nov. 27, 2015, 5:01 PM
    • Germany's Supreme Court handed a victory to Deutsche Telekom (OTCQX:DTEGY +0.8%) and Telefonica (TEF +0.7%) in a rights case, but left the door open for holding Internet service providers responsible for blocking sites offering illegal music downloads.
    • The court dismissed a pair of cases -- one brought by musical-rights society GEMA against Deutsche Telekom, the other brought by music companies against Telefonica's German unit O2 Deutschland -- saying the plaintiffs hadn't done enough to halt copyright violations in the first place.
    • But it went on to rule: "The company that offers Internet access will only be held responsible for blocking the site when the copyright holder has first made reasonable efforts to take action against those who have themselves infringed their rights, like the website operators, or those who have enabled the infringement, like the Web hosting providers."
    • This summer, a German court had ruled that YouTube was only responsible for blocking infringing videos when they had been brought to its attention, and wasn't expected to scan every video.
    | Nov. 27, 2015, 5:01 PM
  • Nov. 19, 2015, 7:19 PM
    • Telefonica (NYSE:TEF) says it may slow down its fiber rollout now that Spain's telecoms regulator has ruled it must open the infrastructure to rivals in most of the country.
    • The country's CNMC regulator has published a draft ruling saying that Telefonica would need to open its fiber network to competitors in municipalities where there are fewer than three players. That covers around 75% of the country.
    • Telefonica also must give wholesale bitstream access on copper and fiber for the business market, and wholesale access on copper and fiber in low-competition areas without a 30 Mbps speed cap.
    • The decision "will result in the possibility of the brakes being put on investment in our country and bring to an end a successful model that has brought about the deployment of fiber-to-the-home in Spain, which has surpassed all other European countries in terms of the number of homes passed," Expansion reports Telefonica as saying.
    • Shares in Telefonica gained 3% after hours.
    | Nov. 19, 2015, 7:19 PM | 4 Comments
  • Nov. 18, 2015, 4:06 PM
    • Telecom Italia Sparkle (NYSE:TI) and Telefonica Business Solutions (NYSE:TEF) have set deals for LTE Roaming peering as well as connecting A2P messaging hubs to raise service quality.
    • The two are solutions providers for their parent companies. The LTE deal -- an extension of an IPX peering agreement the two signed last year -- will ensure consistent user experience and interoperability between the two's networks.
    • Meanwhile, "the A2P Messaging market is growing very fast," says Telefonica's Juan Revilla. "The connection of both of our hubs will provide a high quality, secure and better coverage service to our customers."
    | Nov. 18, 2015, 4:06 PM
Company Description
Telefónica SA is an integrated telecommunications operator which provides communication, information, and entertainment solutions. It operates through the following segments: Telefónica Spain, Telefonica Brasil, Telefónica Germany,Telefonica UK, and Telefónica Hispanoamérica (formed by the... More
Sector: Technology
Industry: Telecom Services - Foreign
Country: Spain