Telefonica to sell majority holdings of Colombian fibre optic company

Even if the most important connections are human connections, times are changing and technology is becoming more and more present in people's lives. And Telefonica (NYSE: TEF) believes it's people who make technology meaningful. The company strives to offer these connections and digitize society as a whole. Hence, it is quick to join the United Nations 2030 Agenda, which highlights the crucial role of innovation, technology and communication in addressing the great challenges facing humanity. In an effort to continue to provide valuable solutions, the company has committed to selling its assets to reduce its debt. This includes the sale of the Telxius cell towers to American Tower for 6.2 billion euros, which took place earlier this year. By selling a majority stake in its fiber optic network in Colombia, the Spanish telecommunications operator also wants to reduce its debts by 200 million euros. In return, it can buy up the KKR fund, subject to regulatory approvals. The company's fiber optic network in Colombia is valued at around $ 500 million. However, like hundreds of companies, the operator also faced growth problems due to the effects of the pandemic. Therefore, the company is quickly looking for partnerships and investors for its other business areas. The company serves more than 344 million customers in 13 countries. The latest renewal of the alliance with CAF is the banco de desarrollo de América Latina, which runs until 2022. It aims to catalyze the post-COVID scenario by creating public-private consortia to promote economic and social recovery. In addition, the alliance supports the use of digital infrastructures and technologies and is also intended to significantly accelerate the implementation of the 2030 Agenda. In the meantime, it is continually changing its DNA by renewing itself. It has set up new 5G networks, phased out copper lines, made fiber optics a mass product and diversified its business models with new technologies. Its new identity also includes flexibility and simplicity to be more modern.