Welcome to our dedicated page for Millicom Intl Cellular S A news (Ticker: TIGO), a resource for investors and traders seeking the latest updates and insights on Millicom Intl Cellular S A stock.
Millicom International Cellular S.A. (NASDAQ: TIGO) is a telecommunications company focused on fixed and mobile services in Latin America. Through its TIGO and Tigo Business brands, Millicom provides mobile telephony, broadband over fiber-cable networks, pay TV, high-speed data, voice, and digital services such as TIGO Money, TIGO Sports, and TIGO ONEtv, as well as cloud and security solutions for business customers. News about TIGO often reflects its role as a regional telecom group and its activities across multiple Latin American markets.
The TIGO news feed highlights earnings releases, financial targets, and capital allocation decisions, including interim and special dividends and share repurchase activity described in its filings. Investors can follow quarterly results, interim condensed consolidated financial statements, and management commentary on revenue, operating profit, net profit attributable to company owners, and equity free cash flow.
Millicom’s news also covers strategic transactions and regional expansion. Recent disclosures include the completion of acquisitions of Telefónica’s operations in Uruguay and Ecuador, which the company presents as steps to deepen its presence in South America and expand its footprint to eleven countries. Other items include agreements in Colombia related to integration plans and network and infrastructure transactions.
Regulatory and compliance developments form another important category of TIGO news. The company has reported on the resolution of a U.S. Department of Justice investigation involving its subsidiary Comunicaciones Celulares S.A. (Comcel) and has detailed its cooperation, remediation efforts, and compliance program enhancements. Together, these updates provide context on Millicom’s operational performance, strategic direction, and governance. Users interested in TIGO can use this page to review historical and ongoing announcements that shape the company’s profile in the Latin American telecommunications sector.
Millicom International Cellular S.A. (TIGO) has announced an extension of its consent solicitations for holders of its senior notes due 2026, 2028, 2029, 2031, and 2032. The extension is related to proposed amendments to the notes' indentures, which would prevent a Change of Control Triggering Event in connection with Atlas Luxco S.à r.l.'s offer to purchase Millicom's shares. The consent deadline is extended to August 23, 2024, at 5:00 p.m. New York City time.
Millicom is offering a Consent Fee of $2.50 per $1,000 principal amount of notes for valid consents. The amendments require approval from holders of at least a majority of each note series. If approved, the amendments would prevent noteholders from being entitled to a 101% purchase offer, even if the acquisition and a rating decline occur.
The independent committee of the Board of Directors of Millicom (Tigo) advises shareholders to reject Atlas Luxco S.A.'s revised cash offer of USD $25.75 per common share and SDR, up from USD $24.00. The committee asserts that the offer undervalues Millicom, despite a 5.8% to 17.6% premium over various recent stock prices. The committee's decision is backed by strong Q2 2024 financial results: revenue up 4.7%, EBITDA up 23.1%, and operating cash flow up 50.2% year-over-year. Millicom's equity free cash flow for Q2 2024 was $268 million, and leverage decreased from 3.10x to 2.77x. The committee also considered Nordea's fairness opinion, which found the revised offer price unfair. Atlas holds approximately 29.17% of Millicom's shares and has set conditions for the offer's completion. Shareholders who have already tendered at the original price will receive the revised offer price automatically. The recommendation against accepting the offer remains firm due to the undervaluation of Millicom's shares and strong financial performance.
Millicom's Independent Committee is reviewing revised tender offers from Atlas Luxco S.à r.l. Atlas has increased its offer price from $24.00 to $25.75 per Share to acquire all outstanding common shares and SDRs in Millicom (TIGO) that it doesn't currently own. The Independent Committee, which previously rejected the original offer as undervaluing Millicom, will evaluate the revised offers and announce its recommendation within five business days.
The committee advises shareholders to take no action pending their review. Millicom is receiving financial advice from Goldman Sachs International and Morgan Stanley & Co. International plc, while Nordea Bank Abp, filial i Sverige, Corporate Finance is acting as independent financial advisor to the Independent Committee.
Millicom International Cellular S.A. (TIGO) has announced consent solicitations to amend its outstanding senior notes. The company is seeking consent from holders of its 6.625% Senior Notes due 2026, 5.125% Senior Notes due 2028, 6.250% Senior Notes due 2029, 4.500% Senior Notes due 2031, and 7.375% Senior Notes due 2032. The proposed amendments are related to Atlas Luxco S.à r.l.'s offer to purchase all of Millicom's outstanding common shares.
The amendments aim to prevent a Change of Control Triggering Event that would require Millicom to make a purchase offer at 101% of the principal amount plus accrued interest. Millicom will pay a $2.50 per $1,000 principal amount consent fee to noteholders who approve the amendments by August 14, 2024. The changes will be effective if a majority of noteholders consent for each series.
Millicom (Tigo) reported strong Q2 2024 results with revenue up 4.7% to $1.46 billion and EBITDA up 23.1% to $634 million. Operating profit surged 74.1% to $345 million, while net income reached $78 million ($0.46 per share). The company generated $268 million in equity free cash flow and reduced leverage to 2.77x.
CEO Marcelo Benitez highlighted the company's transformation efforts, focusing on increasing cash flow generation, streamlining operations, and enhancing productivity. Millicom is prioritizing ARPU growth in Mobile, reducing churn in Home, and accelerating B2B growth. The company targets equity-free cash flow above $600 million in 2024 and aims to reduce leverage to near 2.5x by year-end.
Liberty Latin America (LLA) and Millicom have agreed to combine their operations in Costa Rica, creating a joint venture with LLA holding approximately 86% and Millicom 14%. The combined entity had an Adjusted OIBDA of $255 million, over 440,000 broadband subscribers, and net debt of $533 million as of December 31, 2023. This merger aims to accelerate fiber network expansion, enhance competition, and improve services for Costa Rican consumers.
The transaction is expected to close in the second half of 2025, subject to regulatory approvals. The combined company will focus on transitioning to Fiber-to-the-Home (FTTH) technology, offering high-speed services, and driving innovation in the telecommunications sector.
Millicom (NASDAQ: TIGO) has announced potential acquisitions in Colombia, entering a non-binding memorandum of understanding with Telefonica. The deal involves the possible combination of Telefonica Colombia (Coltel) and TigoUne. Millicom plans to acquire Telefonica's stake in Coltel for about $400 million in cash and intends to offer to purchase La Nación's and other minority interests in Coltel at the same price. Additionally, Millicom aims to acquire Empresas Públicas de Medellin's 50% interest in TigoUne.
The total investment is estimated at $1 billion in cash and assumed debt, to be funded through equity free cash flow over the next 18 months. The transaction is subject to definitive agreements, regulatory approvals, and other conditions. If successful, the combined entity would create a robust telecom operator in Colombia, supporting digital inclusion objectives and advancing Fiber and 5G technologies deployment.
Millicom International Cellular S.A. (TIGO) has distributed a total of 31,682 shares to its Board of Directors as part of their remuneration. This distribution, approved by shareholders at the annual general meeting on May 23, 2024, covers the share-based portion of director compensation for the period from the 2024 AGM to the 2025 AGM, expected to be held in May 2025. The company has disclosed detailed information about these distributions on its website, ensuring transparency for investors and stakeholders. This move aligns with Millicom's commitment to incentivize and retain top talent in its leadership team.
Millicom (Tigo) has announced that it will release its second quarter 2024 results on August 2, 2024, through a press release. The company will host a video conference for the global financial community on the same day at 14:00 (Stockholm) / 13:00 (London) / 08:00 (Miami).
Participants must register for the interactive event and can join in listen-only mode by dialing specific numbers. Those wishing to ask questions during the live event should notify the Investor Relations team via email after the event starts. Accompanying slides and a replay of the event will be available on Millicom's investors website.
Millicom's Independent Committee has unanimously recommended that shareholders reject the tender offers made by Atlas Luxco S.à r.l at $24 per share. The committee believes the offer significantly undervalues Millicom (TIGO) based on several factors:
1. The offer price doesn't adequately reflect Millicom's expected Equity free cash flow of $659 million, $701 million, and $833 million in 2024, 2025, and 2026 respectively.
2. It represents a 37.3% discount compared to trading multiples of comparable companies.
3. The offer price is below recent closing prices, including a 3.1% discount to the July 12, 2024 closing price.
4. The offered premium is significantly lower than average control premia in similar transactions.
5. Nordea Bank has provided an opinion stating the offer price is not fair from a financial perspective.
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