Telefónica leaves Chile after almost four decades in the country

MadridTelefónica is leaving Chile, the first country where it kicked off its international expansion in 1989. telecom Telefónica Móviles Chile, chaired by Marc Murtra, has sold its Chilean subsidiary, Telefónica Móviles Chile, to NJJ Holding and Millicom Spain for €1.03 billion. According to a statement released by the company to the Spanish National Securities Market Commission (CNMV), the transaction includes a variable payment of approximately €126 million contingent on "certain events" in the Chilean telecommunications market. The total amount includes a cash payment of €42 million and a further €286 million linked to the Chilean subsidiary's financial performance. This sale marks the continuation of the Spanish company's exit from Latin America, as outlined in its strategic plan. Telefónica has already sold its subsidiaries in Argentina, Peru, Ecuador, and Uruguay, which impacted the company's November results due to the losses recorded from these transactions. Colombia has joined the four countries already mentioned, where the sale of the subsidiary for approximately €182 million (based on the current exchange rate) has just been finalized. In addition to Chile, Mexico and Venezuela are expected to be added to the list. "We will expand beyond Spanish-speaking America," Murtra confirmed. during the presentation of the strategic plan in NovemberThe withdrawal from territories like Chile, the first country where Telefónica established a presence, would mark the end of an expansion that began in 1989. In parallel with these divestments, the company is making moves to strengthen its position in Europe through sector consolidation.telecomis finalizing the purchase of Netomnia, the UK's fourth-largest broadband network operator, for around £2 billion (€2.3 billion), according to reports.Financial TimesHowever, this consolidation strategy remains surrounded by major unknowns, especially considering the role regulators play in operations like this.