ALFA calls for an Extraordinary Shareholders' Meeting to propose the spin-off of Axtel
ALFA announced a proposal to spin off its entire ownership of Axtel to shareholders at an Extraordinary Shareholders' Meeting on July 12, 2022. The spin-off aims to unlock high underlying value for ALFA and its subsidiaries. ALFA shareholders would receive one share of the newly formed company, Controladora Axtel, for each ALFA share held. The Board of Directors supports this move, emphasizing Axtel's strong position in managed IT and communication solutions. The spin-off marks a significant step in simplifying ALFA's structure and enhancing shareholder autonomy.
- The spin-off of Axtel is expected to unlock underlying value for ALFA and shareholders.
- Shareholders will receive one share of Controladora Axtel for each ALFA share, retaining ownership in ALFA.
- Axtel is positioned as a leading provider in managed information and communications technology solutions.
- None.
- Proposal to transfer ALFA's share ownership of Axtel to ALFA Shareholders via spin-off
- Spin-off intended to unlock ALFA's and its Subsidiaries' high underlying value potential
- Axtel is a leading provider of managed information and communications technology solutions
- Extraordinary Shareholders' Meeting to take place on July 12, 2022
SAN PEDRO GARZA GARCÍA, Mexico, June 27, 2022 /PRNewswire/ -- ALFA, S.A.B. de C.V. (BMV: ALFAA) ("ALFA" or the "Company") announced today the Company will hold an Extraordinary Shareholders' Meeting to present a proposal for the spin-off of its entire ownership stake in Axtel, S.A.B. de C.V. (BMV: AXTELCPO) ("Axtel") to the ALFA shareholders.
Subject to the corresponding approvals, ALFA expects to execute the spin-off by forming a new entity which would be constituted as the spun-off company ("Controladora Axtel") and by listing its shares on the Mexican Stock Exchange (Bolsa Mexicana de Valores). ALFA would transfer its entire share ownership in Axtel to Controladora Axtel, as well as certain other assets and capital.
ALFA shareholders would receive one share of Controladora Axtel for each of their ALFA shares, in addition to retaining their share ownership in ALFA's equity.
The proposal has been authorized and recommended by ALFA's Board of Directors, and is subject to approval at the Extraordinary Shareholders' Meeting that will take place on July 12, 2022.
"We are convinced that the proposed spin-off is the best step forward. ALFA shareholders continue to gain autonomy as we simplify the conglomerate's structure to unlock our Company's extraordinary value potential. Together with Nemak, Axtel would be the second ALFA subsidiary to become fully independent." noted Armando Garza Sada, Chairman of ALFA's Board of Directors.
"Axtel has a strong financial and competitive position as a leading provider of managed information and communications technology solutions. We are confident in Axtel's ability to capitalize on attractive growth opportunities as an independent business. Axtel will get full support from ALFA to ensure an orderly transition," said Alvaro Fernández Garza, President of ALFA.
As required by the applicable laws and regulations, ALFA prepared an information memorandum for this transaction, which is available at www.alfa.com.mx or at the Mexican Stock Exchange's website www.bmv.com.mx.
Contacts
Hernán F. Lozano
V.P. of Investor Relations ALFA, S.A.B. de C.V.
T. +52 (81) 8748-2521
iralfa@alfa.com.mx
Carolina Alvear
Corporate Communication Director
ALFA, S.A.B. de C.V.
T. +52 (81) 8748-2521
comunicacion@alfa.com.mx
About ALFA
ALFA manages a diversified portfolio of leading businesses with global operations: Sigma, a leading multinational food company, focused on the production, marketing and distribution of quality foods through recognized brands in Mexico, Europe, United States and Latin America. Alpek, one of the world's leading producers of polyester (PTA, PET, rPET and fibers), and the leader in the Mexican market for polypropylene and expandable polystyrene (EPS). Axtel, a provider of Information Technology and Communication (ITC) services for the enterprise and government segments in Mexico. In 2021, ALFA reported revenues of Ps. 308,060 million (US
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SOURCE ALFA, S.A.B. de C.V.
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