The telecommunications company Cable & Wireless Panamá (+ Móvil), an affiliate of Liberty Latin America LTD, announced on Wednesday the acquisition of the Mexican multinational América Móvil ( Claro Panamá ), for 200 million dollars in cash and debt-free.

According to Cable & Wireless Panama, the integrated business will operate through a network with wide coverage. "An investment will be made to offer innovative mobile products and services for Panamanian consumers and B2B clients, including through leading technologies such as 5G," the company said.

Completion of the transaction is subject to certain customary closing conditions, including regulatory approvals, and is expected to close in the first half of 2022.

América Móvil clarified that the transaction excludes the telecommunications towers, which are directly owned by AMX in Panama, and the Claro brands.

For fiscal year 2020, Claro Panama generated $ 157 million in revenue, and as of June 30, 2021, the business had 760,000 mobile subscribers.

"We are delighted to further increase our commitment to Panama through the acquisition announced today of Claro Panama," said Balan Nair, president and CEO of Liberty Latin America.

For his part, the executive president and general manager of Cable & Wireless Panama, Betzalel Kenigsztein, indicated that it is a transaction 100% financed by + Móvil, "which creates value for the company, without changes in shareholders."

Liberty Latin America established a Group Operations Center in Panama with the intention of “driving the growing demand”.

For the president of the Cable & Wireless board, Julio Speigel, the combination will improve coverage and the customer experience, as well as greater investment in networks and innovation.