Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

Recs

1

NII Holdings to Sell Nextel Peru Stake

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

South American mobile service operator NII Holdings (Nasdaq: NIHD  )  has confirmed rumors that it was selling its stake in Nextel Peru by announcing it is selling the unit to Empresa Nacional de Telecomunicaciones S.A. for approximately $400 million.

NII, which operates Sprint's (NYSE: S  ) Nextel brand throughout Latin America, previously announced its decision to narrow its focus on its two largest markets, Brazil and Mexico, where it will deploy its next-generation networks. That has opened up the prospects for it selling its operations in Peru, Chile, and Argentina. Shares of the wireless operator shot up as much as 25% the other day as word of a possible deal leaked.

Steve Shindler, NII's chairman and interim CEO, said, "The sale of Nextel Peru is an important step in the evolution of our business and aligns with our strategic goal of increasing value for stockholders through focused investments on our new next generation network deployments. The proceeds that we generate through this sale allow us to prioritize investments in our largest markets that offer the greatest opportunity for strong, long-term returns."

Brazil accounted for 48% of NII's revenues in 2012 and Mexico represented another 35%. At $343 million Peru amounted to less than 6% of the $6.1 million in total sales the mobile service operator generated.

The sales is expected to close in the second half of 2013.


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2347900, ~/Articles/ArticleHandler.aspx, 7/28/2015 11:31:10 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Rich Duprey
TMFCop

Rich has been a Fool since 1998 and writing for the site since 2004. After 20 years of patrolling the mean streets of suburbia, he hung up his badge and gun to take up a pen full time.

Having made the streets safe for Truth, Justice and Krispy Kreme donuts, he now patrols the markets looking for companies he can lock up as long-term holdings in a portfolio. So follow me on Facebook and Twitter for the most important industry news in retail and consumer products and other great stories.

Google+

Today's Market

updated Moments ago Sponsored by:
DOW 17,528.15 87.56 0.50%
S&P 500 2,078.45 10.81 0.52%
NASD 5,051.92 12.15 0.24%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

12/31/1969 7:00 PM
NIHDQ $0.00 Down +0.00 +0.00%
NII Holdings, Inc. CAPS Rating: **
S $3.28 Up +0.18 +5.72%
Sprint CAPS Rating: **

Advertisement