Sunday, April 2, 2006

Verizon to Sell Caribbean and Latin American Operations for $3.7 Billion

Verizon Communications will sell its Caribbean and Latin American telecommunications operations in three separate transactions to América Móvil, a wireless service provider throughout Latin America, and a company owned jointly by Teléfonos de México, (Telmex) and América Móvil, for approximately $3.7 billion.

The deal includes telecom interests in the Dominican Republic, Puerto Rico and Venezuela. Verizon owns 100% of Verizon Dominicana, a 52% in Telecomunicaciones de Puerto Rico, Inc. (Puerto Rico Telephone), and a 28.5% interest in Compañia Anónima Nacional Teléfonos de Venezuela (CANTV).

Telmex and América Móvil will pay $676.6 million for the interest in CANTV.

The three properties serve a combined total of more than 15 million wireless, wireline and broadband customers in the three countries and have approximately 17,000 employees.

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