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Millicom and EPM finalise merger

October 2, 2013

Millicom, the international telecommunications and media company, and Empresas Públicas de Medellín (EPM), the largest public service company in Colombia, have signed a final agreement to combine their respective businesses in Colombia. This follows the announcement of an agreement in principle in July 2013.

The regulatory process will now commence and comprise reviews undertaken by the Superintendencia de Sociedades (corporations authority), Superintendencia de Industria y Comercio (consumer protection and competition authority), Superintendencia Financiera (financial authority) and the Autoridad Nacional de Televisión (television industry regulator).

Provided the regulatory review concludes positively the newly-merged integrated company is expected to:
– Create a business offering a comprehensive range of bundled digital services to millions of households including mobile and fixed telephony, mobile and fixed broadband and pay-TV
– Exploit the complementary geographic coverage and commercial offerings of UNE, EDATEL, ETP and Tigo
– Implement a key component of Millicom’s strategy to double revenue by 2017 and increase profits.

Commenting on the signature today, Millicom President & CEO, Hans-Holger Albrecht reiterated: “I am delighted that we have been able to conclude such an agreement with our colleagues at EPM. It brings even closer the prospect of creating an exciting new business to provide a complete range of digital services to the people of Colombia. Meanwhile, we will work hard with the Colombian authorities to provide all the information they need to assess the proposed merger.”

Categories: Articles, Business, M&A, Telco