Banco Azteca to buy out Iusacell minority shareholders

Mexican mobile operator Iusacell announced late last week that Banco Azteca is to launch a tender offer for a 6.1% stake in the telco, shares which are currently owned by minority shareholders.
The tender offer began on April 21 and is set to end on May…

Mexican mobile operator Iusacell announced late last week that Banco Azteca is to launch a tender offer for a 6.1% stake in the telco, shares which are currently owned by minority shareholders.

The tender offer began on April 21 and is set to end on May 18, the mobile operator said in a filing with the Mexican Stock Exchange, adding that it will offer Ps49.05 (US$4.03) per Iusacell outstanding share, of which there are 7.58 million, which values the deal at Ps371.8m (US$31m).

Iusacell is ranked the third mobile operator on the Mexican market in terms of subscribers and has been in talks with creditors since late 2009, in a bid to renegotiate its foreign-currency denominated debt.

Its debt at the end of last year was at Ps11.70bn, a decrease from Ps12.54bn at the end of 2008. Part of the company’s current cost cutting programme has seen it announce plans to delist from the local stock exchange.

Iusacell is controlled by Mexican businessman Ricardo Salinas Pliego, who also controls the Mexican firm Grupo Elektra, which in turn owns Banco Azteca.