LONDON, July 4, 2026, 00:02 BST
- Zegona Communications plc (LON:ZEG) ended Friday at 1,567.95p on Google Finance, gaining 1.16%. LSE data earlier in the week showed the shares had fallen 8.6% in the previous week through July 2.
- Deutsche Bank said it didn’t use stabilisation for Zegona Finance’s €1.1 billion notes due 2032. The bond is part of the company’s new debt deal.
- The €3.7 billion refinancing set to wrap up by July 14 will bring the yearly debt cost down to €170 million. That’s down from €230 million in March, according to the company.
Zegona Communications plc (LON:ZEG) finished the week higher, but the stock remains stuck between a quick price move and a more straightforward debt position. The shares traded at 1,567.95p in London as of 5:00 p.m. on July 3, up 17.95p for the session. Google Finance showed volume at 1.01 million shares and a market cap of around £3.53 billion.
Zegona shares came under pressure earlier this week. A London Stock Exchange tear sheet for July 2 showed the stock down 8.61% over the past week and off 14.36% in four weeks. Still, the stock was up 115.88% over the past year and 11.11% so far this year.
| Measure | Zegona | Comparison point |
|---|---|---|
| Friday quote, July 3 | 1,567.95p | Up 1.16% for the session |
| July 3 open/high/low | 1,580p / 1,594p / 1,550p | Google Finance |
| 1-week move to July 2 | -8.61% | Lagged the FTSE 350 by 9.77 percentage points |
| 4-week move to July 2 | -14.36% | Trailed FTSE 350 by 16.93 points |
| 52-week move to July 2 | +115.88% | Outperformed FTSE 350 by 96.69 pts |
| RSI to July 2 | 35.18 | Still above the normal oversold level |
Credit trading looked simpler than the equity side. Deutsche Bank said in a July 2 post-stabilisation notice that it made no stabilisation moves on Zegona Finance’s €1.1 billion 4.25% senior secured notes due 2032. The notes priced at par, set at 163 basis points above the benchmark.
Zegona shares are now being watched for cash conversion, not just the Vodafone Spain turnaround. The company said its €3.7 billion refinancing will lower annualised debt costs to €170 million—down from €230 million in March and €294 million two years back. That’s a 26.1% drop since March and 42.2% lower than two years ago.
| Debt line | Old structure | New structure |
|---|---|---|
| Euro senior secured note | €1.32 bln at 6.750%, due 2029 | €1.10 bln at 4.25%, due 2032 |
| Dollar senior secured note | €748 mln equivalent at 8.625%, due 2029 | Replaced |
| Term loan | €1.67 bln at Euribor +2.25%, due 2029 | €1.35 bln TLA at Euribor +1.75%, due 2031; €1.28 bln TLB at Euribor +2.00%, due 2032 |
| Revolving credit facility | €500 mln undrawn at Euribor +2.25% | €500 mln undrawn at Euribor +1.75% |
| Annualised debt cost | €230 mln in March 2026 | €170 mln run-rate |
With 225.64 million shares outstanding, the €60 million in yearly interest savings comes to around €0.27 per share, before tax and any other adjustments. The company also noted that fees and expenses, plus the call premium on the old bonds, are set at about €100 million. That equals about 20 months of the projected savings.
Zegona Chairman and CEO Eamonn O’Hare said the refinancing marks “significant progress in transforming Vodafone Spain over the last two years.” Zegona finished buying Vodafone Spain in 2024. Investegate
Insider action showed up this week at Zegona. The company said July 1 that non-exec director Suzi Williams picked up 2,797 shares at £17.157 on June 29, spending £47,988.88. By Friday, shares traded at £15.6795 on Google Finance, down about 8.6% from Williams’ price.
The next date for the debt deal is July 14, when the refinancing is set to close. The company plans to redeem existing notes a day later on July 15, if standard conditions are met.
