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Price is sticking point for Telefónica total exit

Thursday, February 7, 2019

Telefónica is holding out for the right price -- at least $570 million -- that would ensure its total exit from Central America.

That would amount to $100 million less than América Móvil, which operates under the Claro brand, when it acquired the Spanish telco in Guatemala and El Salvador on January 24.

At least that is what Spanish newspaper El Economista reckoned in its February 4 edition when it said that talks on the possible sale had gained traction because it would enable Telefónica to pay $1 billion in debt during the current quarter.

Millicom, which has a presence in Latin America through its Tigo brand, is regarded as being the most likely buyer for the Movistar operations in Nicaragua, Costa Rica and Panama.