Business Context and Reporting Period
Company: America Movil S.A. de C.V.
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Date: June 22, 2004 (Reporting period covers the month of June 2004)
Business Overview: America Movil is the leading provider of wireless services in Latin America with over 48 million wireless subscribers in the Americas.
Key Financial Metrics
This filing is a current report regarding a corporate transaction and does not contain audited financial statements, revenue, profit, cash flow, margin, debt, or liquidity figures for the period.
Transaction-Specific Metrics (as of March 31, 2004):
- ENITEL (Nicaragua): Approximately 205,000 wireline subscribers and 145,000 wireless subscribers.
- Megatel de Honduras: Approximately 61,000 wireless subscribers.
Material Changes
On June 22, 2004, America Movil announced two significant acquisitions expanding its footprint in Central America:
- ENITEL (Nicaragua): Agreed to acquire a 50.03% controlling interest in Empresa Nicaraguense de Telecomunicaciones, S.A. (ENITEL). America Movil previously held a 49% interest. ENITEL provides fixed, mobile, and other telecommunications services.
- Megatel de Honduras: Agreed to acquire a 100% controlling interest in Megatel de Honduras, S.A. de C.V., a provider of mobile and other telecommunications services.
The transactions are subject to regulatory approvals and other conditions, with an expected closing date in July 2004.
Guidance, Outlook, and Risks
Outlook: Management expects the transactions to close during July 2004, pending regulatory approvals.
Risks and Contingencies: The filing includes a standard legal disclaimer regarding forward-looking statements. Actual results may differ materially from expectations due to risks including general economic and market conditions, industry conditions, operating factors, and regulatory approvals required for the acquisitions.
Investor Verification Checklist
- Confirm the final closing date of the ENITEL and Megatel de Honduras acquisitions (expected July 2004).
- Verify the receipt of all necessary regulatory approvals in Nicaragua and Honduras.
- Review the purchase price and financing terms for the additional 1.03% stake in ENITEL and the 100% stake in Megatel de Honduras, which are not disclosed in this text.
- Monitor future filings for the integration of these new subscriber bases into consolidated financial results.