Spanish telecom company Telefonica (TEF.MC) said on Wednesday it agreed to sell its Uruguayan unit for $440 million to Luxembourg-based Millicom International (MICC.F) as part of its strategy to exit Spanish-speaking Latin America.
At the end of the transaction Millicom, which operates telecom companies all over Latin America under the brand Tigo, will buy 100% of Telefonica's Uruguay unit, Telefonica said in a statement.
Telefonica did not specify whether the sale will imply a capital impairment on its accounts.
The Spanish company has recently sold its business in Peru and Argentina as it opted to focus on Spain, Brazil, Britain and Germany.
The company had to book an accounting loss of 1.7 billion euros ($1.93 billion) during the last quarter from the disposals in both South American countries.
($1 = 0.8821 euros)
