Telefonica about to close sale of LAtAm businesses
Spain-based telco Telefonica [BME:TEF] is about to close the sale of its business in Mexico and Central America, El Confidencial reported, citing sources involved in the negotiations. Both processes are already very advanced and involve different suitors, the item said.
In the case of its Telefonica Mexico subsidiary, the decision is being settled between the offers of investment funds Cerberus and Advent, while for Telefonica Centroamerica, the candidate with more potential is local operator Tigo, owned by Guatemalan magnate Mario Lopez Estrada, the item reported.
These divestments are part of the new roadmap presented by the president of Telefonica, Álvarez-Pallete, who defended the need to assess the desirability of getting rid of businesses with lower profitability, the report highlighted.
These divestments could bring Telefonica up to EUR 2.5bn, an extraordinary income that will contribute to reducing debt, which at the end of 3Q18 was EUR 42.6bn.
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