Renta 4 | Telefónica (TEF) has hired J.P. Morgan to study the sale of its subsidiary in Argentina, according to press reports. The potential buyers are local companies. MiliCom also stands out, to which Telefónica has already sold several Latin American subsidiaries and is in the process of selling the Colombian one.
In addition, Telefónica Peru has sent a relevant fact in which it highlights that it is in talks with potential investors to sell this subsidiary.
Assessment: The completion of these transactions would have a significant impact on the footprint of the group as we expect them to contribute 57% and 52% of HispAm’s estimated 2024 revenues and EBITDA (12% and 6% at group level, respectively). We will be keeping a close eye on the progress of these operations, which would be in line with the group’s strategy of continuing to reduce its exposure to HispAm.
Target Price €4.60/share. Hold.