America Movil refuted claims it is plotting with Telefonica and Telecom Italia to make a joint bid for Brazilian operator Oi.
Responding to reports earlier this week, America Movil’s director of strategic alliances Arturo Elias Ayub told Reuters “absolutely nothing has been negotiated”, regarding a potential move to acquire Oi’s assets.
However, he did not rule out a future move, albeit noting the company would need to carefully consider the price and placement of the assets involved.
The prior reports stated the trio of operators planned to purchase and then divvy up Oi’s mobile assets between them. The operator has become a potential target following a period of turbulence sparked by a failure to restructure BRL65.4 billion (US$15.9 billion) worth of debt in 2016, which ultimately resulted in it seeking bankruptcy protection.
Even if Telefonica and Telecom Italia make a move, they would likely face tough regulatory scrutiny because the deal would reduce the number of operators in Brazil to three.