MADRID, July 28 (Reuters) - Spanish teleco Masmovil's bid to buy out its fellow operator Euskaltel edged closer on Wednesday after Abanca, a Spanish bank and minority Euskaltel shareholder, announced it would sell its 4.5% stake.
Under Masmovil's offer of 11 euros per share, Abanca would receive approximately 88 million euros ($103.81 million) in exchange for its 8 million shares, bumping support for the acquisition up to 57% of Euskaltel's shareholders, a new high, but still below the 75% mininum acceptance threshold.
Masmovil had previously secured a narrowly majority stake of 52% thanks to agreements with Euskaltel's three main investors - Zegona, Kutxabank, and Corporacion Financiera Alba.
Itself the target of a takeover bid by U.S.-based funds Cinven, Providence and KKR last year, Masmovil was delisted from Madrid's stock exchange as a result, something which is likely to happen to Euskaltel if the merger proceeds. ($1 = 0.8477 euros) (Reporting by Clara-Laeila Laudette; Editing by Emma Pinedo and Sandra Maler)