Carlos slimming down in Brazil; billionaire to merge domestic operations

15 Apr 2013

America Movil (AM), the telecoms group controlled by Mexican billionaire Carlos Slim, plans to merge its fixed and mobile telecoms and cable TV operations in Brazil. Under the plan, AM will amalgamate its fixed line business Embratel Participacoes (Brazil’s third largest telco behind Oi SA and Telefonica Brazil [Vivo]), Claro-branded mobile unit Telecom Americas (the number three player in the wireless market) and cable television unit Net Servicos de Comunicacao SA (the country’s leading pay-TV operator by users), in a bid to reduce overall operational costs. In a joint statement issued last Thursday, the three AM units confirmed that they are evaluating options for a structural merger.

Brazil, America Movil (AM), Claro Brasil (incl. Embratel & NET Servicos)