Telecom Argentina in $1.245 Billion Acquisition of Telefónica’s Operations in Argentina

Cleary Gottlieb represented longstanding client Telecom Argentina S.A. (Telecom Argentina) in connection with its acquisition of Telefónica S.A.’s operations in Argentina for $1.245 billion.

The acquired business provides mobile and fixed telephone, fixed broadband, and video services nationwide in Argentina. The transaction was announced and closed simultaneously on February 24, 2025. The acquisition was financed through a syndicated term loan with Banco Bilbao Vizcaya Argentaria S.A., Deutsche Bank Ag, London Branch, and Banco Santander S.A., and a bilateral term loan with Industrial and Commercial Bank of China (Argentina) S.A.U., for an aggregate principal amount of $1.17 billion. Following the closing of the transaction, Telecom Argentina will make required regulatory filings seeking approval from Argentina’s antitrust and telecommunications regulators.

Since 2017, Telecom Argentina has invested more than $6 billion in infrastructure, expanding the quality and coverage of its networks and services in Argentina, Paraguay, and Uruguay. With this acquisition, Telecom Argentina expects to accelerate the rollout and capillarity of fiber optics and the deployment of 5G mobile sites throughout Argentina.