U.S. Reveals Government Spent $1.1 Billion on Telefónica Shares in Spain: Sepi’s 5% Purchase

The US government has disclosed previously undisclosed data regarding the cost of acquiring a stake in Telefónica in Spain. According to a statement made to the SEC, the State Society of Industrial Participations (Sepi) has admitted to purchasing 5% of Telefónica at around 3.92 euros per share, which is 4.5% more than the Saudi group STC paid for the same package of shares. In total, the government has dedicated approximately 1,135 million euros of public money to this investment.

The Saudi group had previously acquired or tied up around 9.9% of Telefónica at a lower price of 3.75 euros per share on average. This caused speculation that prices would rise due to a new buyer (Sepi) entering the market. As a result, Telefónica’s shares rose above 4.1 euros per title in response to the news.

According to information provided to the SEC, Sepi purchased the shares as part of an order from the Spanish government to acquire up to 10% of Telefónica’s shares in order to promote stability and safeguard strategic interests. The Spanish Public Treasury financed these purchases with capital contributions.

Sepi stated that it believes that Telefónica is crucial for Spain’s economy and will continue its efforts towards promoting growth and innovation in research activities, security and defense while maintaining public interest standards