Telefonica aims to finalize the sale before its annual shareholders’ meeting, typically held in April or May
Spanish telecommunications giant Telefónica has hired investment bank JP Morgan to oversee the sale of its Mexican business, according to a report by financial newspaper Cinco Días, which cited unnamed financial sources.
According to the Spanish paper, the company aims to finalize the sale before its annual shareholders’ meeting, typically held in April or May.
The report noted that this move comes amid Telefónica’s broader strategy to divest assets in Latin America as it works to reduce debt and fund investments in 5G mobile networks. In recent years, the company has sold several regional assets, and it is also accelerating efforts to sell a majority stake in its Colombian subsidiary to Millicom Tigo,
Telefónica is reportedly in the final stages of negotiations, with the deal valued at approximately $400 million. The process has been progressing positively in recent weeks, though it still requires regulatory approval, Colombian press reported.
Meanwhile, Telefónica has also put its Argentine operations on the market, with JP Morgan managing the sale process. Reports indicate that interest in acquiring Telefónica’s Argentine operation has intensified in recent weeks, with at least five potential buyers emerging. Among them are Mexican telecom giant América Móvil, French telecom company Iliad, and Liberty Media, which may partner with Millicom. Additionally, local firms such as the Werthein Group and media conglomerate Clarín are also reportedly considering bids.
Any potential sale to América Móvil or Clarín would require regulatory approval, given that both companies directly compete with Telefónica’s mobile brand, Movistar. America Movil operates in the local mobile market through its Claro brand while Grupo Clarin owns mobile operator Personal.
