Iusacell plans progress with Grupo Salinas gaining full control ahead of AT&T acquisition
AT&T’s plans to acquire Mexican mobile operator Iusacell received a boost following Iusacell’s current owner gaining full control of those operations.
Published reports indicate that Grupo Salinas acquired the 50% stake in Iusacell it did not control from Grupo Televisa for $717 million, providing Grupo Salinas with full control of Mexico’s No. 3 mobile operator. Televisa in 2011 purchased its 50% stake in Iusacell for $1.6 billion
Grupo Salinas’ consolidation move was key to AT&T’s previously announced plans to acquire full control of Iusacell from Grupo Salinas for $2.5 billion.
That deal, which was announced in November, calls for AT&T to pick up Iusacell’s wireless properties, including licenses, network assets, retail stores and approximately 8.6 million subscribers. Iusacell currently operates a 2G and 3G network using GSM/UMTS technology covering around 70% of Mexico’s population under the Iusacell and Unefon brands.
The network taps into Iusacell’s spectrum portfolio that includes between 20 megahertz and 25 megahertz of 800 MHz spectrum primarily in the southern half of the country, including Mexico City and Guadalajara, and an average of 39 megahertz of 1.9 GHz spectrum covering all of the country.
AT&T touted the network and geographic synergies aspects of the deal, noting that Iusacell’s network technology and spectrum align with AT&T Mobility’s network and that when combined the carrier will have a “North American mobile service area.”
Mexico telecom regulator Instituto Federal de Telecomunicaciones announced on Dec. 21 that it had approved AT&T’s proposed deal, in a move that could provide more robust competition for the country’s dominate wireless operator América Móvil. Mexico has recently begun to implement regulations designed to make its telecom market more competitive
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