Call it a week: European IG and HY TMT update

Research evidence excerpt

Call it a week: European IG and HY TMT update

uld put the uplift at risk, adding downside credit considerations.

Digi (RCSRDS): Considering the relaunch of an IPO of Spanish unit.

• Digi is considering launching the formal process to IPO its Spanish unit, with a

decision expected in the coming days with formal marketing potentially starting

as soon as next week and the deal may raise at least €300m, according to

Bloomberg. Digi paused earlier IPO preparations amid market instability, but is now

revisiting the plan as volatility has eased following geopolitical de-escalation and

renewed European listing activity.

FiberCop (FIBCOP): Rome Wasn’t Built In A Day: Fiber Investment Peaks First,

Credit Improvement Follows; Initiating with an Overweight Recommendation (see full

note here).

• FiberCop operates Italy’s national wholesale fixed broadband access network

across B2B2C access services and B2B services which has been operating as a

standalone business since the July 2024 separation from Telecom Italia. The

company is >70% of the way through its current ~€8.5bn network upgrade plan to

pass ~20.3m UIs with FTTH by 2027. Fixed market conditions remain defined by the

migration from Legacy/FTTC to FTTH and infrastructure competition with Open

Fiber in densely populated areas; however, FiberCop expects to be the main operator

across more than half of its network footprint. We believe broader structural trends

driving demand for high speed data are supportive of continued convergence with

Western European fixed broadband penetration levels in Italy. FiberCop was recently

granted increased flexibility to set access prices commercially and respond to market

dynamics, limited by “fair and reasonable” pricing across all technologies,

supporting ARPUs.