Telefonica Delays Colombian Subsidiary IPO
Published on: 4th Jul 2013
Note -- this news article is more than a year old.
Telefonica has delayed the planned stock market listing of its Colombian subsidiary until later next year in a move that will put further pressure on the company as it seeks to pay down its debt mountain.
Citing three sources familiar with the matter, Bloomberg News reported that the company has decided to delay the IPO until after next May's Presidential elections in the country. The government owns 30% of the Telefonica subsidiary, and there is political uncertainty about what the government may want to do with it next year.
Falls in stock markets in emerging countries is also said to have spooked the company.
Telefonica had been expected to seek to raise around USD650 million by selling a 19% stake in the company, which would leave it with a controlling 51% stake.
On the web: Bloomberg News