1. Deal Description
Guerrero Olivos counseled Telefónica Chile in the sale of 60% of the shares of its subsidiary, InfraCo SpA, to KKR Alameda Aggregator L.P. (vehicle controlled by funds managed or advised by KKR subsidiaries), as well as in the execution of a shareholders' agreement and a contract for the provision of wholesale telecommunications services. InfraCo's valuation for the transaction is $ 1 billion dollars.
Among the complexities of the transaction are the structuring of the sale of a majority percentage of InfraCo's shares as well as a shareholders' agreement that establishes the rights that Telefónica Chile has in the company in its capacity as non-controlling shareholder. Likewise, the operation included the analysis of the financing structure of the company for the entry of the new shareholder as well as the negotiation of a contract for the provision of wholesale services by virtue of which Telefónica Chile will become InfraCo's main client at the time of closing of the transaction.
2. Counsel list
Counsel to Telefónica Group:
Chile: Guerrero Olivos
Partner: Jorge Delpiano
Senior associates: César Gálvez, Sebastián Marambio and Roberto Burgos
Associates: Santiago Bustos, Matías Ríos and Daniela Ahumada
In-house counsel:
Telefónica Chile S.A.: Gladys Fuentes (General Counsel) and Claudio Monasterio (Senior Attorney)
Telefónica Hispam: Diego Colchero (General Counsel)
International: Latham & Watkins LLP
Antonio Del Pino (Partner — NYC)
Ignacio Pallarés (Partner — Madrid)
Alan Rozen (Associate — NYC)
Counsel to Kohlberg Kravis Roberts (KKR): Simpsom Thacher & Barlett LLP
Breene Haire (Partner — Houston)
Ana Sánchez (Associate — Houston)
Michael Spirtos (Associate — Houston)
3. Date of closing
22/02/21
4. Deal Value
USD1 billion
5. Jurisdictions involved
Chile and United Stated of America