Business Context and Reporting Period
This Form 6-K filing by America Movil S.A. de C.V. is dated September 8, 2003. The document announces a strategic acquisition rather than reporting periodic financial results for the company itself.
Key Financial Metrics
The filing provides specific financial data for the target company, Compañía de Telecomunicaciones de El Salvador (CTE), as of the end of June 2003 and for the first half of 2003:
- Transaction Value: $417 million for a 51% interest.
- CTE Revenue (H1 2003): Approximately $187 million.
- CTE EBITDA (H1 2003): Approximately $90 million.
- CTE Net Debt (at closing): Not to exceed $25 million.
- CTE Subscribers (End of June 2003): 623,000 wire-line and 152,000 wireless.
The filing does not provide consolidated revenue, profit, cash flow, or margin data for America Movil for the current period.
Material Changes
The primary material change is the agreement to acquire a controlling stake in CTE, expanding America Movil's footprint in El Salvador. The filing does not provide comparative financial data for America Movil versus prior periods.
Outlook, Risks, and Contingencies
- Closing Timeline: Expected to close in the fourth quarter of 2003.
- Contingencies: The transaction is subject to regulatory approvals.
- Risks: The document includes a standard legal disclaimer regarding forward-looking statements, noting that actual results may differ materially due to risks, uncertainties, and assumptions.
Investor Verification Checklist
- Confirm receipt of necessary regulatory approvals for the CTE acquisition.
- Verify the final closing date and any adjustments to the $417 million purchase price.
- Monitor the integration of CTE's 775,000 total subscribers into America Movil's network.
- Review subsequent filings for the impact of this acquisition on America Movil's consolidated debt and liquidity.