America Movil said this transaction increases its overall shareholding in Telekom Austria from 51% to 56.55%
Mexican telecommunications group America Movil has increased its ownership in Austrian mobile operator Telekom Austria after it acquired shares corresponding to 5.55% of the voting rights in the company.
In a release, the Mexican company said that this transaction increases the overall shareholding of America Movil in Telekom Austria from 51% to 56.55%
America Movil did not disclose any financial details of the transaction.
In February, the Austrian operator said its two main shareholders, America Movil and Austrian state holding company OeBAG, agreed to support the spinoff of its mobile towers business, which would be listed on the Vienna Stock Exchange and shares distributed proportionally to Telekom Austria’s shareholders.
America Movil already secured a €500 ($552 million) loan and launched a separate €500 million bond to fund the separated tower entity, according to recent press reports.
OeBAG owns 28% of Telekom Austria, according to the operator’s corporate website. A1 Telekom Austria Group also operates in Belarus, Bulgaria, Croatia, North Macedonia, Serbia and Slovenia.
America Movil operates in at least 10 markets, mainly in Latin America. In Europe, the telco partially owns dutch telco KPN apart from its presence in the Austrian market.
Mexican telecom group America Movil recently said it currently provides 5G services in 104 cities across Mexico.
The telco recently announced the launch of 5G services for prepaid users. In a release, the Mexican carrier said that its more than 68 million prepaid users are now be able to access the company’s 5G network, which means that the benefits of the new technology will be available to more than 80 million Telcel customers.
America Movil noted that 5G services are helping to increase the demand for postpaid mobile plans in the Mexican market. The company’s CEO Daniel Hajj previously said that the company was seeing a solid migration of users from 4G to 5G, which is increasing the telco’s Average Revenue Per User (ARPU).
In February last year, America Movil launched 5G services in 18 of Mexico’s largest cities, reaching more than 48 million people. The company, which operates in the mobile telephony segment through the Telcel brand, initially launched 5G in Mexico City, Monterrey, Guadalajara, Tijuana and Puebla, among other cities.
