America Movil is reportedly planning to spin-off its wireless towers throughout Mexico in response to recent legislative overhauls aimed at reigning in the dominance of the wireless company.
According to reports, the company will spin off the assets to reflect the value of the infrastructure, the company said Tuesday. Despite earlier speculation that a spin-off would lead to a divestiture of the assets altogether, America Movil said it has no plans to sell the towers.
The plans are part of America Movil’s response to recent changes in how Mexico regulates media industries. America Movil was recently declared to hold a dominant position in the telco industry, with 70 percent of wireless accounts and 80 percent of landlines.
The company will now have to present a breakup plan of the company to the nation’s telecommunications authority; during the announcement, America Movil said it is still working on that plan, which will reduce the company’s hold on the market to under 50 percent.
Full content: Bloomberg
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
EU Extends Support for Farms and Fisheries Amid Market Disruptions
May 5, 2024 by
CPI
Sony and Apollo Bid $26 Billion for Paramount Acquisition
May 5, 2024 by
CPI
Goldman Sachs Resolves Decade-Old Metal-Rigging Class Action Lawsuit
May 5, 2024 by
CPI
Italian Antitrust Ruling Puts Halt on Intesa Sanpaolo’s Fintech Ambitions
May 5, 2024 by
CPI
Google Antitrust Case: Closing Arguments Conclude
May 5, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI