Tigo/Une-EPM step closer to merger

The planned merger of Une-EPM and Tigo Colombia has been green-lit by broadcasting watchdog Asociacion Nacional de TV (ANTV), Rapid TV News writes. The tie-up was approved by antitrust authority Superintendencia Industria y Comercio (SIC) in April this year and is now awaiting authorisation from financial watchdog Superintendencia Financiera de Colombia. According to TeleGeography’s GlobalComms Database, the merger deal was agreed between parent companies Millicom International Cellular (MIC) and state-owned utility firm Empresas Publicas de Medellin (EPM), in July 2013. Under the pact, EPM would hold a 50% plus one share stake in the enlarged entity, whilst MIC would hold the remainder and assume operational and administrative control of the operator. MIC will also clear EPM’s debts, totalling more than COP181.4 billion (USD94 million). Taking the first major step towards a tie-up, in November 2013 Une-EPM purchased a 24.99% stake in Tigo from Empresa de Telecomunicaciones de Bogota (ETB) for USD240 million, increasing its holding in the cellco to 49.99%.