The saga that is Telecom Italia’s (TI) disposal of its controlling interest in Telecom Argentina reached a conclusion.
“Telecom Italia Group has completed the sale of its entire remaining stake in Telecom Argentina with the sale to Fintech Group of 51 per cent of the share capital of Sofora Telecomunicaciones (the parent company of Nortel, which holds control of Telecom Argentina),” TI said in a statement.
A 17 per cent minority interest in Sofora was previously sold to Fintech in October 2014.
The total amount generated by the sale is confirmed to be around $960 million.
This includes $550.6 million for the 51 per cent stake; $50 million “from agreements ancillary to the operation” from other shareholders of Sofora; the aggregation of $329.5 million received in connection with sales to Fintech in 2013 and 2014; and future revenues to be generated by making technical support services available to Telecom Argentina group companies, the statement added.
Last week, the deal was approved by Argentina’s new telecoms regulator Enacom, although back in October, then telecoms regulator AFTIC had blocked the sale, saying Fintech did not have the “experience and expertise” to run the fixed and mobile operator.