America Movil Could be a Breakup Candidate According to Macquaire

TheStreet 1:08 mins

America Movil could become the next breakup candidate. America Movil's owner, Carlos Slim, will increase his interest in America Movil to over 50% by buying back the rest of the stake that AT&T holds in his company. Since his announcement, shares of the TV provider surged 5%. But for anyone who is shorting the name, Macquarie warns that might be risky right now. They believe America Movil could go private or break up. Macquaire said, "We note that [America Movil] has appointed a special Board committee to review strategic alternatives in light of the regulatory changes. We believe the Board could consider asset sales or a breakup of the company. Slim could make further purchases by doing a $10 billion sale/leaseback of [America Movil]'s towers and liquidating its KPN stake." America Movil currently owns more than 20% of KPN, a Dutch telephone carrier. It attempted to takeover KPN in the past but it was unsuccessful. TheStreet's Julia Sun reports from New York.

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