America Movil terminated the $351m acquisiton of a 99.3% stake in Telefonica El Salvador.

Telecommunication companies America Movil and Telefonica mutually terminated their agreement for Merica Movil's $351m acquisition of a 99.3% stake in Telefonica El Salvador, blaming regulatory hurdles. The abandonment comes weeks after El Salvador’s competition authority set conditions to clear the deal. These included a requirement for America Movil’s Claro to rule out future use of spectrum currently used by Movistar until it is certified. Claro was also pressed to keep all marketing strategies developed by Movistar for seven years. “The decision comes after careful consideration by both parties of the conditions to obtaining regulatory approval established by the Superintendencia de Competencia in their recent ruling on the proposed transaction,” America Movil.