After more than three decades of presence in the country, Telefónica confirmed this Tuesday the sale of its Chilean subsidiary to the groups NJJ Holding and Millicom Spain. The decision is part of the company’s global plan to progressively abandon the Latin American market.
The operation marks the closing of a 35-year cycle in Chile and opens a new stage under the control of international capital that until now had no direct presence in the local market.
What the company said about its departure from the country
The signing highlighted that the transfer seeks to ensure continuity and projection for the Chilean subsidiary. The CEO of Telefónica Hispam, Alfonso Gómez, stated: “Telefónica leaves in Chile a robust operation, a modern infrastructure and a platform prepared for the new shareholder to continue promoting the country’s digital development on solid bases.”
With these statements, The company stressed that current infrastructure and services would be able to continue operating without interruption under the new management.
There will be changes in Movistar‘s plans and contracts
One of the main concerns among users arose around the future of the services marketed under the Movistar brand. According to known antecedents in the market, the brand would continue to operate normally, since the operation corresponds to an acquisition and not a merger with another company that already operates in Chile.
In this context, no relevant changes are anticipated in the short or medium term. Current contracts, as well as mobile plans and home services—such as fiber optics and television—would maintain their current conditions and values.
What are the financial details of the transaction
The operation considers an initial payment of 50 million dollars. Up to an additional 150 million dollars could be added to this, subject to the fulfillment of goals linked to the generation of value.
Likewise, it was reported that Telefónica will make an additional contribution aimed at safeguarding the financial stability of the subsidiary at the time of the definitive closing of the agreement.
With this movement, the telecommunications market in Chile adds a new controlling actor, while maintaining, for now, operational continuity for millions of customers.
