Telefonica not to sell its subsidiary in El Salvador to America Movil

As officially reported from Europa Press, Telefonica announced this Thursday that it will not sell its subsidiary in El Salvador to America Movil, after the rules imposed on the operation by the Competition Superintendence, the Central American country’s regulator..

According to Europa Press, Telefonica and America Movil have decided to cancel the agreement for the Mexian company to acquire the 99.3% of Telefonica Moviles El Salvador after ‘a detailed analysis by both companies of the conditions established by the Competition Superintendence to get the corresponding regulatory approval’, as reported to the National Securities Market Commission (CNMV).

The Salvadoran regulator considered the offer that America Movil presented to acquire Telefónica’s operations in El Salvador ‘inadmisible’ three times. The operation had originally been announced on January 24th, 2019. According to Europa Press, the Mexican company will pay a total of 277 million euros (more than USD 328 million) to Telefonica for its operations in El Salvador.