AM poised to finalise first stages of Telint, CGT takeovers

14 Jun 2010

Latin American mobile giant America Movil (AM) is close to finalising the process that will see it take control of regional fixed line group Telmex Internacional (Telint), according to Business Week. It is understood that enough Telint minority shareholders have accepted a cash and stock offer to give AM a 93% holding in the company, with the latter paying out around MXN26.6 billion (USD2.1 billion) to those that said yes to the cash option. In addition, AM has also announced that investors in Carso Global Telecom (CGT), the holding company that presently has the majority stake in Telint, have accepted a separate share-swap offer, and as a result AM will hold 99% of CGT stock when the offer is fully completed. The CGT transaction will also give AM a majority stake in Mexican fixed line incumbent Telefonos de Mexico (Telmex), although the mobile group has said that the operator will continue to operate as an independent company.

Mexico, America Movil (AM), Telefonos de Mexico (Telmex), Telmex Internacional