Telefonica Centroamérica Inversiones Agrees to the Sale of Telefónica Guatemala and El Salvador to América Móvil for 570 Million Euros

"Telefonica Spain just announced that it sold its Guatemala and El Salvador mobile business to America Movil-Claro (AMX). The Mexican mega operator will pay USD 333M for the Guatemala property and it is a done deal. And it will pay USD 315M for El Salvador but it is still subject to regulatory approval. Guatemala have currently three main carriers: Tigo (53% share), Claro (27% share) and Movistar (Telefonica-18% share). After the acquisition, Claro’s share will jump from 27% to 45%, though it will still remain behind Tigo but it is getting quite close. El Salvador’s top three carriers are Tigo (33% share), Claro (31% share) and Movistar (24% share). After the acquisition, Claro will become the dominant operator with more than 54% share. Therefore, El Salvador’s deal is still pending for regulatory approval. Telefonica said that this transaction was part of the group’s new strategy of improving return on capital and strategic positioning." - Tina Lu