A consortium of private investors offered €2.96 billion for Spanish challenger operator Masmovil, a proposal described by the company’s board as beneficial for shareholders and stakeholders.

The offer came from Lorca Telecom BidCo, a joint venture owned by Providence Equity (which already owns a 9.2 per cent stake in Masmovil), Cinven Capital Management and KKR Associates Europe.

If approved by shareholders and relevant regulators Masmovil will be delisted from the stock market.

In a statement to the Spanish National Securities Market, Masmovil co-founder and CEO Meinrad Spenger (pictured) said the proposed new owners had agreed to continue the operator’s current business plan, alongside retaining employees and its management team.

He added the board regarded the proposal as beneficial for shareholders and stakeholders.

Masmovil is a distant fourth in Spain’s mobile market: GSMA Intelligence connection figures for Q1 placed its number at 7.6 million, compared with 16.4 million for market leader Orange Espana, Telefonica’s Movistar brand with 16.2 million, and Vodafone Espana on 13.5 million.

In 2019 Masmovil was rumoured to be in talks with Vodafone’s local unit over a potential takeover, though both denied discussions.

Over the last three years MasMovil sought to bolster its prepaid footprint with the acquisition of Spanish MVNOs Llamaya and Lebara. In March it announced it had also struck a deal to acquire Lycamobile’s assets for €372 million.