SAO PAULO (Reuters). Telefonica Brasil said Wednesday that the company estimates that assets from Brazilian telecom Oi Movel would create 5.4 billion reais (1.09 billion dollars) in value.

The company that operates in this country as Vivo stated in a presentation that the number refers to cost savings and investments, and also accounts for incorporation fees.

According to the company, earnings before interest taxes depreciation, amortization (EBITDA), and operating cash flow margins will be higher than 70%.

Telefonica (NYSE 🙂 anticipates that the migration of Oi Movel clients to its base will take place by the close of the first quarter 2023.

In late 2020, Oi agreed to purchase its mobile operations from Oi. Claro and TIM SA were competing in an 16.5 billion reais joint offer. Claro is a Mexican subsidiary. America Movil (NYSE:) SAB de CV.

($1 = 4.9642 reais)