MADRID, Spain-Telefonica and Spanish utility company Iberdrola signed an agreement under which Telefonica will acquire all Iberdrola shareholdings in the Brazilian telecom operators in which both companies have stakes. Iberdrola will receive more than 19 million Telefonica shares, valued at about $313 million.
The agreement includes the exchange of Telefonica shares for the stakes held by Iberdrola in Brazilian cellular operators Tele Sudeste Celular and Tele Leste Celular.
Telefonica will acquire 7 percent of the share capital of the holding that controls Tele Sudeste Celular, 62.02 percent of the total share capital of the holding controlling Tele Leste Celular and 3.38 percent of the total share capital of Tele Leste. Telefonica will also receive Iberdrola’s 7-percent stake in the holding company of Celular CRT.
The deal also includes Telefonica’s purchase of Iberdrola’s 3.48-percent interest in fixed-line operator Telesp.
The agreement allows Iberdrola to focus on its strategy of concentrating on its core assets in the northeast of Brazil and on businesses in which it holds controlling stakes.
The deal is subject to authorization by Brazil’s telecom regulator Anatel.
