Telefónica announced to buy back a stake in its submarine cable business, Telxius, that it sold to KKR five years ago. Telefoninca and its partner Pontegadea have agreed to pay €215.7 million, subject to various adjustments, for a 40% stake in infrastructure group Telxius.

With this transaction, Telefónica will increase its stake in Telxius to 70%, from current 50.01%, and Pontegadea will increase its stake to 30% from 9.99%, which Pontegadea acquired from Telefonica for a total amount of 378.8 million euros in July 2019. Telefoninca and Pontegadea allied for a pretty much 50:50 deal to acquire KKR's 40% stake in Telxius.

Telefonica established Telxius Telecom S.A. in 2016, to own and operate its global telecommunications infrastructure, more than 18,000 mobile towers and 100,000 kilometersas of fibre-optic subsea cables, including Marea, Brusa, Mistral, SAm-1, etc. 

In early 2017, private equity firm KKR acquired 40% stake in Telxius for €1.275 billion. In June 2021, Telxius sold its tower assets to U.S.-based American Tower Corp for €7.7 billion.


Through its Tier 1 IP network, Telxius provides direct connectivity to the internet with a coverage of 93 points of presence and 27 landing stations in 23 countries. In addition, Telxius offers an extensive range of capacity services, colocation and security services.

This global ecosystem of state-of-the-art network infrastructures and facilities meets the needs of numerous business customers and organisations, which require high capacities and low latency for the development of their activity, including the big Hyperscalers. Cable networks have proven to be critical in their response to challenging environments, such as during the pandemic, and will be equally decisive for the development of the metaverse, web3 and the new digital era.

The closing of the transaction is subject to regulatory and competition approvals.