América Móvil seeks extension to CANTV takeover deadline

5 Oct 2006

Mexican mobile giant América Móvil (AM) has asked the US securities regulator the SEC to extend the deadline for completing the purchase of a stake in Venezuelan fixed line incumbent CANTV, writes BNamericas. AM wants the deadline pushed back to 29 December from the original date of 2 October, although it only filed the request on the deadline day. AM is looking to buy US telecoms group Verizon’s 28.5% interest in CANTV, and plans to make an offer for all outstanding shares in the operator. Venezuela’s president Hugo Chávez has recently threatened to nationalise CANTV if the company refuses to pay money owed to former employee’s retirement funds as ordered by the country’s Supreme Court. CANTV began making payments at the beginning of September but is still waiting on the government to determine how much it actually owes. AM has indicated that it would continue with the acquisition despite the threats.

Venezuela, America Movil (AM), CANTV