SoftBank looks to buy America Movil wireless assets

SoftBank casts eye over America Movil wireless assets

31 OCT 2014

SoftBank is studying America Movil’s wireless assets that have been put up for purchase as a possible means of entering the Mexican market, the Wall Street Journal (WSJ) reported.

The firm has asked Marcelo Claure, the chief executive of US operator Sprint it acquired last year, to gather more information on America Movil’s assets, which could be worth between $10 billion to $15 billion. Claure has a good understanding of Latin American markets and is an adviser to SoftBank’s chairman, Masayoshi Son.

This is not the first time SoftBank has been linked to the Mexican market. Last month a report said it was looking into investing in Iusacell, America Movil’s competitor and Mexico’s third-largest mobile operator.

And it has previously been linked to America Movil’s assets too.

America Movil has been under regulatory pressure to loosen its grip on Mexico’s mobile and fixed-line markets which is why it is selling operator assets.

WSJ said the the decision whether to proceed with a bid is not an easy one since valuing America Movil’s assets is not straightforward. Another potential headache is how to separate out any assets from the rest of the Mexican operator.

A decision on whether to proceed or not is likely to take a few weeks.

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Saleha Riaz

Saleha joined Mobile World Live in October 2014 as a reporter and works across all e-newsletters - creating content, writing blogs and reports as well as conducting feature interviews...More

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