Telecom Italia concludes $960m Argentine unit sale

Telecom Italia concludes $960m Argentine unit sale

Telecom Italia has completed the sale of its stake in Telecom Argentina to Fintech, with the total amount generated by the sale confirmed at over $960 million.

The sum includes the $550.6 million Fintech paid this week to acquire 51% of Sofora Telecommunications, the holding company for Telecom Argentina.

Telecom Italia had agreed to sell its controlling stake to Fintech back in November 2013 and both parties had signed agreements on October 24, 2014, a statement read.

Fintech had paid a total of $329.5 million to Telecom Italia in December 2013 and October 2014. Another $50 million relates to “agreements ancillary to the operation” the statement added. Future revenues to be generated by making technical support services available to Telecom Argentina, secured by a pledge of collateral makes up the remaining amount.

After some regulatory hurdles, Argentine regulator, ENACOM, approved Fintech’s bid.

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