Magyar Telekom will spin off its passive mobile infrastructure into a separate unit, the company announced on May 13. The transaction, pending approval by shareholders at the June 26 EGM, could be closed in the last quarter.

The company said the move, affecting 2,800 sites with a total asset value of HUF52.7bn (€250mn), would have a neutral impact on the company’s financial performance. The new unit is expected to generate annual EBITDA after leases of HUF12.1bn, starting 2026, with roughly 90% of revenues coming from intra-group sources, the company said.

The spinoff aligns with wider trends in the industry aimed at enhancing flexibility, improving competitiveness and unlock shareholder value, financial website Portfolio.hu wrote, citing the company.

Deutsche Telekom, its parent group, previously spun off its towers into GD Towers. In Hungary, sector peer Yettel also carved out its infrastructure into a standalone unit, operating under the brand CETIN. As part of its transformation programme, 4iG also separated its infrastructure and commercial units.

Hungary’s leading telco closed a strong year in 2024 as consolidated revenue rose 13.9% to HUF967bn, net profit jumped 93.6% to HUF163bn and EBITDA AI rose 29.1% to HUF333bn.

In its guidance, management expects HUF190bn in net income this year. MTel has been the best-performing blue chip on the Budapest bourse in 2025 with a 29% gain, outperforming the BUX index, up 19% year-to-date. The benchmark index of the BSE is trading at a historic high.