Liberty Latin America explained a deal by subsidiary Cable & Wireless Panama to acquire America Movil’s local mobile business will boost its presence in a nation it identified as a key ditigal hub for the region.
America Movil agreed to sell its Claro Panama operation for $200 million, stating the deal covers its entire holding in the mobile business but excludes various telecom towers.
The companies expect the transaction to close in H1 2022, subject to governmental approvals and customary closing conditions.
Liberty Latin America chief Balan Nair explained in a separate statement the integrated business will operate “a network with extensive coverage”, with aims to invest in innovative mobile products and services for consumers and B2B customers.
Nair explained Panama was an “important digital hub” in Latin America and the company expected the market to drive “growing demand” for its mobile and fixed connectivity offerings.
Liberty Latin America owns 49 per cent of Cable & Wireless Panama, with the nation’s government holding the same portion and an employee trust the remaining 2 per cent.
The company asserted Claro Panama had 760,000 mobile subscribers at end-June and generated revenue of $157 million in 2020.
In January 2019 Liberty Latin America attempted to form one of the biggest converged operators in the Americas by acquiring Millicom, and in December 2020 media reports linked it with negotiations covering Telefonica’s units in Colombia and Ecuador.Subscribe to our daily newsletter Back