Alfa plots sale of Axtel shares

Alfa plots sale of Axtel shares

Mexican conglomerate Alfa has proposed the spin-off of its entire stake in operator Axtel, a move it claimed will unlock the underlying value of the group.

The proposal was approved and authorised by the Alfa board but is now subject to the approval of shareholders at the company’s next shareholders' meeting on July 12.

“We are convinced that the proposed spin-off is the best step forward. Alfa shareholders continue to gain autonomy as we streamline the conglomerate structure to unlock the great value potential of our company,” said Alfa chairman of the board Armando Garza Sada.

Alfa detailed it will create a new company called Controladora Axtel to which it will transfer all shares of the operator, and it will be listed on the Mexican stock exchange.

“Axtel has a solid financial and competitive position as a leading provider of managed information and communication technology solutions. We trust in Axtel's great capacity to capitalise on attractive growth opportunities as an independent business. Axtel will have the full support of Alfa to ensure an orderly transition,” added Alfa president Álvaro Fernández Garza.

Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE weekly email newsletters for the latest telecom info in developing and emerging markets globally.
Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.