Millicom (Tigo) completes acquisition of Telefónica in Uruguay, strengthening its regional footprint in South America
Rhea-AI Summary
Millicom (TIGO) completed the acquisition of 100% of Telefónica Móviles del Uruguay S.A. (Movistar) on October 7, 2025 for an enterprise value of USD 440 million, following final approval from the Government of Uruguay.
The transaction gives Millicom an entry into Uruguay, expands its South America footprint, and is expected to create synergies across networks, operations, and commercial services. Integration is projected to deliver positive contributions to free cash flow beginning in 2026. The company said it will invest in infrastructure, innovation, and digital inclusion while complementing its regional coverage.
Positive
- Enterprise value of USD 440 million
- Official market entry into Uruguay on October 7, 2025
- Synergies across networks, operations, and commercial services
- Integration projected to add free cash flow from 2026
Negative
- None.
News Market Reaction
On the day this news was published, TIGO gained 0.21%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Millicom (Tigo) completes acquisition of Telefónica in Uruguay, strengthening its regional footprint in South America
Luxembourg, October 7, 2025 – Millicom International Cellular S.A. (“Millicom”) today announced that, following final approval from the Government of Uruguay, it has completed the acquisition of
“This acquisition marks a decisive step in our growth strategy,” said Marcelo Benitez, CEO of Millicom. “We are thrilled to establish a presence in Uruguay – a country known for its stability and clear vision for digital transformation. We see tremendous value in the country’s talent, and our commitment is to invest in infrastructure, foster innovation, and create new opportunities that drive long-term digital growth.”
The transaction is expected to generate synergies across networks, operations, and commercial services, while also diversifying Millicom’s sources of value creation in a market with solid macroeconomic fundamentals and investment-grade credit ratings. Integration is projected to deliver positive contributions to free cash flow for shareholders beginning in 2026.
By adding Uruguay to its footprint, Millicom complements its coverage across South America, further consolidating its platform as one of the region’s principal telecom operators. The move also strengthens Millicom’s mission to accelerate digital inclusion and contribute to sustainable development across Latin America.
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For further information, please contact
| Press: Sofía Corral, Director Corporate Communications press@millicom.com | Investors: Luca Pfeifer, VP Investor Relations investors@millicom.com |
About Millicom
Millicom (NASDAQ: TIGO) is a leading provider of fixed and mobile telecommunications services in Latin America. Through its TIGO® and Tigo Business® brands, the company provides a wide range of digital services and products, including TIGO Money for mobile financial services, TIGO Sports for local entertainment, TIGO ONEtv for pay TV, highspeed data, voice, and business-to-business solutions such as cloud and security. As of June 30, 2025, Millicom, including its Honduras Joint Venture, employed approximately 14,000 people and provided mobile and fiber-cable services through its digital highways to more than 46 million customers, with a fiber-cable footprint over 14 million homes passed. Founded in 1990, Millicom International Cellular S.A. is headquartered in Luxembourg with principal executive offices in Doral, Florida.
FAQ
What did Millicom (TIGO) acquire in Uruguay on October 7, 2025?
How much did Millicom pay for Movistar Uruguay (TIGO) and when closed?
When will the Millicom (TIGO) acquisition start contributing to free cash flow?
Did the Millicom (TIGO) purchase of Movistar Uruguay receive government approval?
What strategic benefits did Millicom (TIGO) cite for the Uruguay acquisition?
How will the Millicom (TIGO) deal affect its South America coverage?
