Telefónica in $500 million sale to Pollo Campero

Spain's Telefónica is selling 40 percent of its Central American business to Guatemalan-based Corporacion Multi Inversiones (CMI) for $500 million in a drive to cut debt while keeping control of assets with potential to grow.

Europe's biggest telecom provider, battling a recession-hit home market and a heavy debt burden, sold a string of assets last year in a fight to bring net debt below $62 billion this year.

The sale to CMI, owner of Guatemalan fried chicken chain Pollo Campero, brings in cash and a new partner in a business that Telefónica will continue to manage with majority control.

Source: Reuters