Millicom To Acquire Telefónica's Operations In Uruguay For $440M

Millicom (Tigo) to Acquire Telefónica's Operations in Uruguay for USD 440 Million, Expanding Presence in South America

Key Highlights:

• Acquisition strengthens Millicom's presence and scale across South America.
• Expected to be EFCF accretive starting in 2026.
• Diversifies Millicom's cash flow sources in a country with a favorable macroeconomic outlook and investment-grade credit rating.
• Significant synergies anticipated across network, operations, and commercial integration.
• Positive market outlook supported by a stable regulatory environment and strong mobile market fundamentals, providing a solid foundation for sustainable growth.

Luxembourg, May 21, 2025 — Millicom International Cellular S.A. ("Millicom") today announced it has entered into a definitive agreement to acquire 100% of Telefónica Móviles del Uruguay S.A. for an enterprise value of USD 440 million. This strategic acquisition aligns with Telefónica's regional repositioning and enables Millicom to consolidate its leadership position in South America.

Millicom expects the transaction to be EFCF accretive as early as 2026, driven by operational efficiencies and integration with its existing regional footprint. Upon closing, the company anticipates immediate scale benefits, enhanced synergies, and long-term value creation across its Latin American platform.

The transaction further diversifies Millicom's cash flow sources, reducing overall risk supported by Uruguay's stable macroeconomic environment and investment-grade credit rating (BBB+). The deal is expected to temporarily increase Millicom's leverage by approximately 0.1x.