Telefonica to pay Motorola €3 billion for international mobile phone stakes

Published October 11th, 2000 - 02:00 GMT

Spanish telecoms group, Telefonica, said Tuesday it had reached an accord with US group, Motorola, to acquire stakes in its mobile telephony units in Mexico, Brazil, Israel, the Dominican Republic and Honduras for €3.0-3.2 billion ($2.644-2.744 billion). 

 

In a statement to the stock market regulator, the CNMV, Telefonica said it will either pay Motorola $2.644 billion in cash or swap its own shares valued at $2.744 billion for the US group's holdings. 

 

The accord includes acquiring 100 percent of Norcel, Cedetel and Bajacel and 21.7 percent of Portatel in Mexico, 36.3 percent of Global Telecom in Brazil, 50 percent of Pelephone in Israel, 26.5 percent of Tricom in the Dominican Republic and 25 percent of Celtel in Honduras. 

 

The company said the operation depended on government authorization and due diligence. — (AFP, Madrid) 

 

© Agence France Presse 2000

© 2000 Mena Report (www.menareport.com)

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