NII Holdings has announced that it has completed the previously announced sale of Nextel Argentina, transferring the remaining 51% of its interest to subsidiaries of Buenos Aires-based media conglomerate Grupo Clarin. In connection with the sale, NII previously received USD178 million of aggregate net proceeds, including USD6 million of cash placed in escrow to secure specified indemnity obligations. Steve Shindler, CEO of NII, commented: ‘This transaction is consistent with our strategy to concentrate our resources on our operations in Brazil and improve our liquidity position’.
According to TeleGeography’s GlobalComms Database, in September 2015 Clarin agreed to acquire a 49% equity stake in Nextel Argentina, including the option to acquire the remainder upon receipt of approvals from the local regulatory authorities. Although the deal was promptly rejected by the Federal ICT Authority (Autoridad Federal de Tecnologias de la Informacion y las Comunicaciones, AFTIC), Judge Pablo Cayssials later imposed a six-month injunction blocking the watchdog’s decision. As such, the final decision regarding the takeover will now be made by new government personnel, following November’s presidential election.