Carlos Slim's wireless/wireline consolidation effort to fend off new competition dream came with a hefty price.
The telecom magnate's wireless operator America Movil (NYSE: AMX) paid $2.12 billion to Telmex Inernacional (NYSE: TII) shareholders that tendered their shares for cash. Slim's America Movil issued 1.35 billion of its L shares to shareholders who decided to get stock in exchange for their Telmex Internacional shares.
America Movil acquired 93.56 percent of Telmex Internacional, which was below the 95 percent figure it needed to delist from the New York Stock Exchange (NYSE), but Telmex's CEO said that "a delisting from New York was imminent." In addition, America Movil now owns 99.44 percent of Carso Global Telecom shares, which is the second piece of Slim's asset consolidation effort.
- Reuters has this article
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