Lyca buys Ortel from Telenet, strikes MVNO deal
Lycamobile will buy Telenet's Belgian MVNO Ortel for an undisclosed fee
Lycamobile has acquired Belgian operator Ortel Mobile. while also agreeing an MVNO deal with Ortel-parent Telenet.
UK-headquartered Lycamobile, which operates in 21 countries worldwide, launched an MVNO in Belgium in 2007, operating on Orange’s network.
As part of the MVNO agreement, Lycamobile’s customers will be able to access Telenet’s mobile network, which it acquired from KPN last year.
Lycamobile will also strengthen its position in Belgium with the acquisition of Ortel, a direct subsidiary of Telenet. The deal will see Lycamobile’s combined customer base top one million in the country.
It is already Belgium’s biggest MVNO, with a share of around 37% of the virtual market, with Ortel in second place.
Lyca Group Chairman, Allirajah Subaskaran, commented: “We have been active in Belgium since 2007 and are now delighted to announce our partnership with Telenet and acquisition of Ortel Mobile, which significantly enhances Lycamobile’s offering in the region. This will all be to the ultimate benefit of our customers.”
"We're delighted to welcome this new partner", John Porter, CEO of Telenet, added. "By acquiring BASE, Telenet has become an important partner in the MVNO market and intends to stay that way. Telenet's aim is to operate the best mobile network and we plan to invest up to €250 million in the upgrade of our mobile infrastructure of which most will be completed by mid-2018. These targeted investments, combined with the reputation inherited from BASE in terms of partnerships, will attract new partners, thus creating new opportunities for us.
“The sale of our direct subsidiary Ortel Mobile to Lycamobile represents a logical step in our strategy as Telenet has the strong ambition to grow in the wholesale business preferring to concentrate on new MVNO partnerships instead of investing in separate prepaid international mobile communication business units."