Liberty Global to Distribute LiLAC Stock to Holdersby
Liberty Global Plc plans to distribute shares of its LiLAC tracking stock, which follows the performance of its Latin American businesses, to holders, Chief Executive Officer Mike Fries said.
“The market cap of the tracker after today will be about $7 billion,” Fries said in an interview Monday with CNBC. “Sixty-seven percent of that is still owned intercompany. We’re going to distribute that out into the shareholder base.”
The company controlled by John Malone completed its 3.5 billion-pound ($5 billion) cash-and-stock takeover of Cable and Wireless Communications Plc Monday, giving it operations in Colombia, Peru and 16 other countries.
Fries said that while Liberty Global has been in the region for a while, with operations in Puerto Rico and Chile, it needed to “scale up” to grow. That growth will come from a market where mobile data and broadband penetration is 30 percent to 50 percent less than it is in the U.S., he said.