PRIVATE LINE. Buyout groups have thrown another cat into Spain’s telecoms chicken-run. Less than a year after pouncing on number four operator MasMovil, KKR, Cinven and their buddies are taking a swipe at Basque country outfit Euskaltel. Their bid, worth 3.5 billion euros including debt, represents a modest 16% premium to Euskaltel’s closing share price last week. But at 10 times expected EBITDA for this year it’s still on the pricey side. The private equity barons paid 8 times EBITDA when they snapped up MasMovil last June. Synergies should help the numbers stack up. Euskaltel, for instance, will be able to switch to MasMovil’s network, rather than leasing space off Orange and Telefonica. The buyers also get extra heft in any future consolidation of the ultra-competitive Spanish market. A rumoured tie-up with Vodafone’s local unit now looks distant. But if it happens, private equity may be calling the shots. (By Ed Cropley)