The Diplomat
Telefónica yesterday closed the sale of its Costa Rican business to Liberty Latin America for 538 million dollars (455 million euros at current exchange rates), according to the Spanish Securities and Exchange Commission (CNMV).
With this deal, Telefónica will reduce debt by a further 440 million euros, after having reduced its net debt by 30% in a year thanks to other corporate operations, reports Europa Press.
Telefónica closed the sale of its subsidiary in the Central American country on 30 July, three months after the previous buyer, Millicom, backed out of the deal due to the pandemic.
The deal was approved by the Costa Rican government on Monday.
Telefónica also recently closed another deal in Colombia for the sale of part of its fibre optic business and the creation of a joint subsidiary with KKR which, once closed, will also allow it to reduce its debt by another 200 million euros.
With these operations, the Spanish operator continues to implement its plan in which the key markets are Spain, Germany, the UK and Brazil, while the American subsidiaries are subject to possible inorganic operations.
