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Liberty Global creates tracking stock for LatAm, Caribbean

2014-10-23 09:16:00| Telecompaper Headlines

(Telecompaper) Cable group Liberty Global has decided to establish a tracking stock for its operations in Latin America and the Caribbean (the LiLAC Group) in order to highlight the value of its operations in the region and create attractive "pure-play" equities for investors. Liberty CEO Mike Fries said the structure will also give the advantages of doing business as a single company, leveraging group synergies and economies of scale. The LiLAC Group will initially have attributed to it Liberty Global's 100 percent stake in VTR GlobalCom and VTR Wireless, as well as its 60 percent stake in Liberty Cablevision of Puerto Rico. Record Liberty Global stockholders will receive one LiLAC Group share for every 20 shares held. Liberty Global expects that the LiLAC tracking shares will trade under the symbols "LILA," "LILAB" and "LILAK" on the NASDAQ Global Select Market. All of Liberty Global's businesses not attributed to the LiLAC Group will be attributed to the Liberty Global Group, whose shares will continue to trade under its current "LBTYA," "LBTYB" and "LBTYK" symbols on on the NASDAQ Global Select Market. The entire process is expected to take five months, pending regulatory approval, including that of the Securities and Exchange Commission (SEC) and shareholder approval There will be no change in the business management of the different operations.

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Category:Telecommunications

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