Masmovil, the fourth-largest telecommunications operator in Spain, has signed a 5G deal with Orange Espagne, helping the company increase its EBITDA guidance for the next three years.

The company said the deal will cover all future 5G needs of the Orange Espagne, and significantly increase the cost efficient FTTH network footprint, and generate 40 million euro or $43.54 million in Opex runrate savings, Reuters reported.

Commercial momentum of Masmovil, combined with the new agreements, will lead to increased EBITDA and operating FCF guidance.

Masmovil increased its EBITDA guidance to 465 million euros ($506.15 million) for 2019, 570–600 million euros for 2020 and 670–700 million euros for 2021.