GIC. Credit: T. Schneider, Shutterstock.
Spain’s largest fibre optic network is coming, as MasOrange, Vodafone Spain, and GIC team up in a €5 billion joint venture to boost digital infrastructure and sustainability across the country.
MasOrange, Vodafone and GIC launch new fibre company
MasOrange, Vodafone Spain, and Singapore’s GIC sovereign wealth fund have officially agreed to create Spain’s largest fibre optic network, aiming to roll out premium fibre-to-the-home (FTTH) services for millions.
Announced on Monday, August 4, the joint venture – called FibreCo – will serve approximately 12 million premises and 5 million customers through networks contributed exclusively by MasOrange and Vodafone. The network will not be open to third parties.
Under the agreement:
- MasOrange will hold 58 per cent of the new company
- GIC will own 25 per cent
- Vodafone Spain will retain 17 per cent.
The transaction, which includes MasOrange’s acquisition and transfer of northern Spain’s Conexus Networks into FibreCo, is expected to close in Q4 2025, pending regulatory approvals.
The newly formed FibreCo promises to drive digitalisation, innovation, and sustainability in Spain’s telecom segment.
“We are very pleased to announce this agreement with Vodafone and GIC to establish the largest FibreCo in Spain,” said Meinrad Spenger, CEO of MasOrange. “This venture will provide our customers with the best premium FTTH connectivity and assure future technology upgrades.” (Press release.)
Vodafone Spain’s CEO, José Miguel García, added, “This agreement is a relevant milestone in our plan, since it will guarantee our customers access to fibre optic networks and better service.”
The infrastructure will incorporate cutting-edge technologies like XGSPON for ultra-fast speeds and meet high ESG standards, using energy-efficient systems to lower environmental impact.
Backed by global banks, €5 billion in financing secured
The fibre rollout will be supported by more than €5 billion in net debt, with around 20 global banks involved. Most of the financing is investment-grade, reflecting strong investor confidence in Spain’s fixed broadband future.
According to GIC’s Boon Chin Hau, Chief Investment Officer for Infrastructure, “Spain is one of the most advanced European countries in terms of its Fibre to the Home rollout; however, there remains significant fixed broadband penetration growth potential.”
What this means for customers and Spain’s digital future
This move will give MasOrange and Vodafone exclusive access to a high-quality fibre network, potentially improving service quality, reliability, and speed. However, it also raises questions around market access and consumer choice, as the network won’t be shared with smaller competitors.
MasOrange will use the €3.2 billion in proceeds to pay off debt, while FibreCo is expected to remain financially independent.
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