Embratel Participacoes, the Brazil arm of Carlos Slim's Latin American telecom empire, decided to not delist shares of its Net Servicos subsidiary because minority shareholders said its offer was too low.
These investors, who own about 1.8 percent of Net's shares, were offered BRL 26.64 (USD 13.18) per share.
In June, Embratel said that it wanted to secure all of Net's outstanding shares not only in Brazil, but also those in the United States and in Spain.
The company added that if its proposal went forward it would make Net a private company.
Under the current structure, Globo Comunicacao owns 51 percent of Net Servicos' parent GB Empreendimentos while Telmex owns the remaining 49 percent stake.
Slim's moves in Brazil are just part of a broader strategy he is taking to expand his holdings outside of its home market in Mexico. Last month, Slim's America Movil (NYSE: AMX) expanded their role in the European telecom market by 4.1 per cent stake in Telekom Austria and a 27.7 per cent stake in KPN.
For more:
- TeleGeography has this article
Related articles:
Slim's Embratel looks to snap up remaining shares in Brazil cable operator Net Servicos
América Móvil gains European foothold with Telekom Austria stake
Report: America Movil's Slim could make bid for a large piece of Telekom Austria
America Movil to fund new Internet-based video venture