Milbank Advises Zegona Communications plc in Connection with Refinancing of Vodafone Spain

Milbank LLP advised Zegona Communications plc and certain subsidiaries in connection with the offering of €1.3 billion 6.750% senior secured notes due 2029 and $900 million 8.625% senior secured notes due 2029, and the €920 million and $400 million TLB loan to refinance Zegona’s bridge facility that was drawn to support the acquisition of Vodafone Spain for an enterprise value of €5 billion on May 31, 2024.

Zegona was established in 2015 with the objective of investing in businesses in the European telecommunications, media and technology sector and improving its performance to deliver attractive shareholder returns. The acquisition of Vodafone Spain, completed on May 31, 2024, marks Zegona's third transaction in Spain. Vodafone Spain has a significant share in the domestic mobile, fixed broadband and TV markets, operating across the value spectrum with two strong offerings – Vodafone and Lowi – providing comprehensive low to high-end offerings.

The Milbank team was led by European Leveraged Finance/Capital Markets partners Tim Peterson, Sarbajeet Nag and Laura Bonamis, special counsel Joji Ozawa, associate Alex Taylor, law clerk Caroline Green and trainee solicitor Argyll Reid. The team also included New York Leveraged Finance partner Michael Bellucci, New York Tax partner Eschi Rahimi-Laridjani and special counsel Craig Cohen, New York Alternative Investments partner Catherine Leef Martin and special counsel Megha Kalbag, New York Global Corporate partner Lowell Dyer and associates Nicholas Castillo, Ari Gilberg and Seth Moreida, London Tax special counsel Andrew Callaghan, London Alternative Investments partner James Warbey and associates Freddy Pilkington and Lauren Beattie, as well as European Leveraged Finance/Capital Markets associates Chara Makrygianni, Dimitris Krokos, Matteo Bonacina, Henry Madell, Andre Seah and Marco Zaldivar. European Leveraged Finance/Capital Markets legal assistant Kyriaki Kyriacou also assisted on the matter.