Telenet strikes MVNO deal with Lycamobile, sells Ortel

Liberty Global-owned Belgian cable operator Telenet has struck a deal with international mobile virtual network operator Lycamobile to become a full MVNO on it mobile network.

Lycamobile, the world’s largest international MVNO, has been active in Belgium since 2007 on the Orange Belgium network and provides low-cost international prepaid mobile voice and data services. Through the Full MVNO Agreement, Lycamobile’s customers will gain access to Telenet’s nationwide mobile network, which it acquired in the form of BASE Company, formerly owned by KPN, last year.

Telenet is also selling its MNVO subsidiary Ortel Mobile to Lycamobile as part of the deal, giving Lycamobile an extended base of about one million users.

Ortel Mobile, a former subsidiary of BASE, has been offering international prepaid mobile telephony solutions in Belgium since 2006 on the BASE network.

The move is the latest that plays to Telenet’s strategy of opening its mobile network to third-party MVNOs. The operator already hosts MVNOs Mobile Vikings, VOO and SFR on the network.

“We’re delighted to welcome this new partner. By acquiring BASE, Telenet has become an important partner in the MVNO market and intends to stay that way. Telenet’s aim is to operate the best mobile network and we plan to invest up to €250 million in the upgrade of our mobile infrastructure of which most will be completed by mid-2018,” said John Porter, CEO of Telenet.

“These targeted investments, combined with the reputation inherited from BASE in terms of partnerships, will attract new partners, thus creating new opportunities for us. The sale of our direct subsidiary Ortel Mobile to Lycamobile represents a logical step in our strategy as Telenet has the strong ambition to grow in the 1 Mobile Virtual Network Operator Press Release wholesale business preferring to concentrate on new MVNO partnerships instead of investing in separate prepaid international mobile communication business units.”