Overview

• Beyond ONE, owner of Virgin Mobile Mexico, is negotiating to acquire Telefónica’s Movistar Mexico unit, which analysts value at roughly €520 million.
• The potential sale is part of CEO Mac Murtra’s plan to exit underperforming Latin American markets and concentrate on Telefónica’s core regions in Germany, Brazil, Spain and the United Kingdom.
• Mexican authorities are establishing a new federal antitrust commission whose review could slow or block the transaction.
• Earlier this year, Telefónica sold its Argentina operations for $1.245 billion and its Uruguay business for $440 million and is now preparing divestments in Chile and Ecuador.
• Neither Telefónica nor Beyond ONE has confirmed the discussions, and sources say completion is not assured.