America Movil Revives as Telmex Merger Cuts Costs

America Movil SAB may recover from its biggest share slump in a year as investors warm to Carlos Slim’s plan for combining the wireless carrier with his South American mix of phone, Web and video providers.

Latin America’s biggest mobile-phone company may surprise investors by cutting $700 million in annual costs through the merger with Slim’s Telmex Internacional SAB, according to Itau Securities. America Movil shares are down 1.1 percent this year, the first quarterly drop since the period ended in March 2009.