Liberty Latin America has walked away from its discussions with Millicom over a possible acquisition.
Around a week after it emerged that LLA had made a non-binding proposal to Millicom, it has now confirmed that “conversations with Millicom regarding a potential transaction” have been abandoned. Instead, LLA will pursue growth by providing “market leading products and services”.
Millicom has operations across Latin America, meaning that an acquisition by Liberty Latin America would have created a major converged player for the region. Previously the offer had not been disclosed, but LLA’s valuation of Millicom has now been revealed as around $7.6 billion.
LLA did not give a reason for abandoning talks, although Bloomberg reported that while Millicom’s top shareholder – the Swedish investment firm Kinnevik – was keen for a merger, the group’s management was less enthusiastic given LLA’s share prices and debt.