Zegona in talks to acquire Spanish mobile network Yoigo

Zegona Communications confirmed press speculation it was in very early talks to acquire Spanish mobile operator Yoigo on Friday, but warned the market nothing was set in stone.

The AIM-traded communications firm said it had entered into an exclusivity agreement with Yoigo's parent TeliaSonera in relation to a potential acquisition.

However, it said various stakeholders would also need to be involved in any transaction, and it had no agreement with them, even in principle.

"The current negotiations may not result in the execution of binding acquisition agreements," Zegona's board warned in a statement.

It also said the consideration for the acquisition may cause it to be classified as a reverse takeover under the FCA Listing Rules, so it had requested the temporary suspension of trading in its shares.