Proximus's Fiber-Collaboration Approval Sets the Stage for a Cleaner CapEx Path
BCA clears Flanders network deal, duct-access terms defined, and Global guidance narrows while free cash flow ambition remains intact.
PROX.BR · Earnings Call · 2026-07-31
The Flanders fiber deal finally lands
Proximus's second quarter was dominated by a single event: the Belgian Competition Authority (BCA) cleared the long-negotiated network collaboration with Telenet (Wyre) in Flanders. As CEO Stijn Bijnens put it, “We're very pleased to receive BCA, the Belgian Competition Authority approval for the network collaboration agreement in Flanders with Wyre and Telenet.” — Stijn Bijnens, CEO · 2026-07-31 The agreement had been in regulatory limbo for months; as recently as the first-quarter call, management was still caveating: “We're all waiting regulatory approval, hopefully soon.” — Stijn Bijnens, CEO · 2026-05-13 The approval itself unlocks a capital-light route for Proximus's fiber rollout in mid-dense Flanders. But the more nuanced element is the duct access framework that accompanies it. Proximus will grant access to its existing GPON duct infrastructure on FRAND terms, but only in dense areas where it builds standalone fiber and only for spare subducts that will not be needed. The pricing is based on current cost, with a monthly rental fee and a minimum five-year term. Bijnens explained the trade-off: “It's based on the cost to do it. So it's current cost pricing... So whether it's a game changer or not, yes, we will see.” — Stijn Bijnens, CEO · 2026-07-31 The upfront payment structure could also bring a working-capital tailwind if an access seeker signs on. Management expects the wholesale cost and income to be broadly neutral at the group level, but the larger benefit is strategic certainty. The agreement sets a clear framework for the mid-dense rollouts and allows Proximus to maintain a competitive technology mix – fiber, HFC, and FWA – as it transitions away from copper. The nonrenewal of Belgian football rights was a drag in H1, but the new DAZN deal is expected to neutralize that from August, adding roughly 0.5% to ARPC.Global: execution over topline
Proximus Global continues its turnaround under the Elevate plan. The integration of Route Mobile is on track, and the company has narrowed its full-year EBITDA guidance to €110–120 million, a sign of growing confidence. Seckin Arikan, Global CEO, highlighted external validation: “We have been ranked the #1 global leader in sponsored roaming by Juniper Research.” — Seckin Arikan, Global CEO · 2026-07-31 The business is deliberately managed on direct margin and cash generation rather than revenue, and the prior quarter's message remains: “We are conscious of the market consensus was higher than what we disclosed today.” — Mark Reid, Chief Financial Officer (CFO) · 2025-11-07 That discipline is now reflected in a tighter guidance band.Financial outlook and the dividend question
The company reiterated all its 2026 guidance, including domestic EBITDA stability and group metrics. The free cash flow in H1 was negative, dragged by the Unifiber consolidation and higher interest costs, but management remains confident in the trajectory. When asked about dividend sustainability, Bijnens was unequivocal: “I don't see any risks. We are very confident with our guidance for free cash flow for this year.” — Stijn Bijnens, CEO · 2026-07-31 The CFO also provided a useful long-term metric: the Unifiber CapEx will be depreciated over 20 years, implying a steady but manageable D&A step-up. The cooperation agreement is the key to the multi-year free cash flow path. With the Wallonia deal expected to close around Q1 2027, the company's investment plan is now more predictable than it has been since the start of the fiber cycle. As Bijnens reflected in an earlier call, the complexity was significant:That process now appears to be reaching its conclusion. The collaboration agreement has effectively derisked the capital plan and gives investors a cleaner line of sight to the €400 million free cash flow ambition for 2030. Proximus still faces a competitive Belgian market – Digi is present, football rights have been renegotiated, and legacy voice declines continue – but the strategic framework is now firmly in place.It's a big document. And I think the multiparty complex discussions, there are a lot of items to discuss also value items. So along the process, we've continued interaction between the operators, the competition authorities back and forth to create a fair distribution of the value.