America Movil’s Claro agrees to buy Brazil’s Desktop in $753M deal

Telecom operator Claro, owned by Mexico’s America Movil, said on Sunday it has agreed to acquire a 73% stake in Brazilian ‌internet ⁠provider Desktop ⁠for an enterprise value of 4 billion reais ($752.93 million).

The base equity price, after deducting Desktop’s net debt, is about 2.41 billion reais, or 20.82 reais ⁠per share, ‌Claro said in a securities filing.

The share price ⁠represents a 44.5% premium over Desktop’s Friday closing price of 14.40 reais.

The deal requires approval from Brazil’s antitrust regulator CADE and telecom regulator Anatel.

Following the transaction, ‌Claro will launch a public tender offer for remaining Desktop shares at ⁠no less than the acquisition price per share.

Desktop specializes in fiber-optic internet services.

America Movil is controlled by the family of Mexican billionaire Carlos Slim. Reuters