Carlos Slim's America Movil (NYSE: AMX) on Thursday confirmed its move to start the process of delisting wireline incumbent telco Telmex from the stock exchanges in Mexico and New York.
As reported by Reuters, America Movil said it would buy up the remaining 2.79 percent of the telco's shares it does not own for MXN 10.2250 (USD 0.78) per share.
Last August, America Movil acquired about 40 percent of the shares it did not already own in Telmex for MXN 10.50 (USD 0.79) a share.
AT&T (NYSE: T) which then owned an 8.5 percent stake in Telmex, said it would accept the service provider's offer.
When the offer was completed in November 2011, America Movil said that it increased its stake in Telmex from almost 93 percent, up from the almost 60 percent it owned before the offer. America Movil then purchased additional equity in Telmex, increasing its direct and indirect ownership of the telco to 97.2 percent.
The move to purchase all of Telmex is part of a broader move by America Movil to shore up its growing telecom empire being built by billionaire Carlos Slim.
Slim's ambitions aren't relegated to Latin America alone, as seen with America Movil's recent moves to get a foothold in the European telecom market. Following its purchase of a 27.7 percent stake in KPN (Amsterdam: KPN), America Movil purchased a 4.1 percent stake in Telekom Austria (OTC: TKAGY) in June.
For more:
- Reuters has this article
Related articles:
Telekom Austria's CEO thinks America Movil investment will foster more expansion
America Movil Q2 profit dips 46% on increased competition, weaker peso
Analysts: América Móvil may push KPN to invest more in networks
América Móvil secures 27.7% stake in KPN, plans long-term partnership