(Alliance News) - Zegona Communications PLC on Wednesday said Spanish telecommunications provider Euskaltel SA has set out a five-year expansion plan.
Euskaltel, a Zegona investee, has a trademark licence agreement which allows it use the Virgin brand in Spain.
Euskaltel is aiming to increase revenue by 80% during the period.
Zegona Chair and Chief Executive Officer Eamonn O'Hare said: "Euskaltel's 2020-2025 Business Plan sets the business on an exciting growth trajectory. The combination of increasing its market footprint with a continued focus on operating efficiency is expected to lead to positive results for the existing business.
"Addressing the 85% of the Spanish market where Euskaltel is not currently present using the well-recognised Virgin brand creates a major new growth driver which is expected to transform the financial profile of the business."
Zegona shares were untraded at 90.00 pence each in London on Wednesday afternoon.
By Eric Cunha; ericcunha@alliancenews.com
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