Millicom International Cellular, NJJ Acquire Telefonica's Stake In Chilean Operations For Initial Payment Of $50M

NJJ and Millicom International Cellular S.A. ("Millicom") today announced the acquisition from Telefonica S.A. ("Telefonica") of 100% of Telefonica's interest in its Chilean business (representing 99.4% of the company), through a jointly controlled vehicle owned 51% by NJJ and 49% by Millicom.

Telefonica will receive an initial closing payment of $50 million and be entitled to additional earn-out consideration up to $150 million based on structural value creation. The earn-out consideration and any obligations of the acquired business, including its existing debt, will be payable from its cash flows and are not guaranteed by Millicom.