América Móvil to expand presence in Brazil

7 Oct 2003

Mexico-based mobile operator América Móvil [NYSE: AMX] has revealed plans to invest around USD800 million in the expansion of its networks in Brazil by 2005, a market it regards as having significant potential for the future. The cellco had initially planned to spend USD500 million on its wireless network in the country, but has increased this following an announcement that it plans to grow its international operations to around the same size as its domestic business by the end of this year. Since the beginning of 2003 América Móvil has made around USD1.3 billion worth of acquisitions – including Brazil’s BSE and BCP, Argentina’s CTI, Conecel of Ecuador and CTE in El Salvador – which it paid for using domestic bond sales. At the end of June 2003 América Móvil claimed a total customer base of 35.8 million in Latin America.