Orange, a French multinational telecommunications corporation, said that it is not interested in further acquisitions in other countries after the company has brought a Spanish competitor ‘Jazztel’. The company said that acquisition of Jazztel will add to its earnings by 2017.

Orange Chief Executive Stephane Richard said that the company is performing well in most of its markets. Therefore, they are not interested to enter into further mergers and acquisitions.

In order to address the need for fixed mobile offers, the company is working on agreements with local fixed players in Belgium and Romania.

It has been found that Orange is looking forward to minimize the size of a capital increase that is needed to finance the acquisition by using hybrid bonds. Orange pledged not to sell shares worth more than 2 billion euros to pay for Jazztel. Company authorities affirmed that the decision regarding it will be made keeping in mind the interest of shareholders.

Sources have reported that Orange has bid 13 euros for every share of Jazztel, which is 22% more than the closing level for the stock on September 12 in Madrid.

After France’s Orange announced its deal with Spanish fixed line telecommunications operator Jazztel, shares of the company fell by 0.7%. Jazztel’s shares witnessed an increase by 6%.

In a statement, Orange shared that the deal with Jazztel will make it the second largest fixed-line broadband Internet operator in Spain, as of now Telefonica SA is at the top. Orange and Jazztel’s deal will add about 1.5 million broadband subscribers with Orange, which will help to strengthen offers of combined broadband, TV and wireless packages.

Stephane Richard said, “Orange and Jazztel together, that’s the combination of two success stories in Spain. With the economy recovering, it’s the right time to reinforce our presence”.