Ibero-Russian Chamber of Commerce
Language: es en pt ru

Telefónica will cut down its debt with the merge of its business in Colombia

Published on July 4, 2012

 
Telefónica will cut down its debt with the merge of its business in Colombia

Telefónica has announced a cut down on its debt by 1.450 million euros at the end of the second quarter, of the present year, thanks to the agreement for the merge of its businesses in the country, a transaction announced in early April.

The Spanish group of telecommunications reached an agreement with the Colombian Government to merge its businesses in fixed and mobile telephony in the country.

Telefonica will merge Telefónica Móviles Colombia and Colombia Telecomunicaciones (52% controlled by Telefonica and 48% by the Colombian government). The company resulting from the merger will be controlled 70% by the Spanish company and 30% for Colombia.

When announcement of the operation was made in April, Telefonica reported it would cut down its debt by 1,300 million euros, an amount that finally climbed to 1,450 million, as announced this week in a statement sent to the CNMV.

In it, the company reiterated that the merger allows creating the second largest integrated operator in the country and hopes to "capture significant synergies in the coming years."

© 2019 Ibero-Russian Chamber of Commerce • Terms of Use