MEXICO CITY (Reuters) - Mexico’s America Movil (AMXL.MX) said on Friday that it was still reviewing alternatives to a sale of assets in Mexico in the wake of AT&T’s entry into the market, adding that it did not want to sell infrastructure.
The company first said in July that it would sell a chunk of assets in its home market to cut its market share and avoid tough new measures imposed on it under new regulation.
The original plan was to sell a cross-section of the company, but America Movil is now reviewing its plan since U.S. carrier AT&T’s (T.N) purchase of Mexico’s No. 3 and No. 4 wireless operators, which could increase competition anyway.
“We are reviewing exactly how the market is going to be in Mexico and then we’re going to take the decision what we’re going to sell,” Chief Executive Daniel Hajj told an analyst call, adding that the company no longer wanted to sell infrastructure or a share of its frequencies, or spectrum.
The company on Thursday reported a 41 percent slump in first-quarter net profit, missing expectations due to a foreign exchange loss for the second consecutive quarter, mostly on the depreciation of the Brazilian real against the dollar.
Reporting By Christine Murray; Editing by Ted Botha