The shareholders of TV Azteca approved the mechanism of investment for Azteca Comunicaciones Colombia, the company’s telecommunications business in that country. The shareholders can participate in the capitalization of Azteca Comunicaciones Colombia privately, up to 60%. TV Azteca, which has invested USD 40 million recently, will remain with a 40% stake.
It is estimated that Azteca Comunicaciones Colombia must be capitalized with US$100 million to invest in last-mile infrastructure, which could result in a positive performance at EBITDA level in the future, the Mexican company said is a press release. TV Azteca has recently invested USD 40 million in the business, thus, the additional capitalization required is USD 60 million.
The company expects that the reduction of its stake in the capital of Azteca Comunicaciones Colombia will be formalized during December. In its Q316 report, TV Azteca had already anticipated that it will focus on the business of broadcast television in Mexico.