In July 2001, Telefonica Moviles acquired from Telefonica S.A. four wireless
operators in Mexico. These operators were acquired from Motorola in June 2001
( link
to emc database). Telefonica S.A. acquired the operators in for an aggregate
of USD 1,835.5 million in shares of Telefonica, S.A. and USD 10.5 million in
cash and transferred them to Telefonica Moviles in exchange for approximately
USD 203 million of its ordinary shares.
At December 31, 2001, these operating companies had an aggregate of 1,212,000
wireless subscribers (EMC World Cellular Database). The operating companies
in Mexico, which operate primarily in the north of the country, are Baja Celular
Mexicana, S.A. de C.V. (Bajacel); Movitel del Noroeste S.A. de C.V.(Movitel);
Telefonica Celular del Norte, S.A. de C.V., (Norcel) and Celular de Telefonica,
S.A. de C.V., (Cedetel). At December 2001 Telefonica Moviles interests in those
wireless operations consisted of:
|
Region
|
Company
|
Ownership interest %
|
|
1
|
Bajacel
|
100
|
|
2
|
Movitel
|
90
|
|
3
|
Norcel
|
100
|
|
4
|
Cedetel
|
100
|
|
Source: EMC Research
|
Telefonica Moviles begun consolidating its Mexican operators in its combined
financial statement as of 1 July 2001. In each of the regions Telefonica Moviles'
wireless operators hold licences of 20MHz of spectrum on the 800 MHz band. The
licences expire in 2010.
Telefonica Moviles' wireless operators offer both analogue and digital networks.
Their digital networks are based upon the CDMA standard. At December 2001, Telefonica
Moviles digital network in Mexico consist of 11 switching centre and 263 network
sites and their analogue network sites consisted of 408 network sites, giving
coverage to approximately 86% of the population.
The legal name is Telefonica Moviles Mexico S.A. de C.V. and the brand name
is Telefonica MoviStar
