NII Holdings and AINMT’s partnership to invest in Nextel Brazil’s growth strategy


Mundie Advogados, Weil, Jones Day and Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga advised on the deal

NII Holdings, Inc. and AINMT Holdings AB (“AINMT”), an international telecommunications company and parent of the Norwegian operator ice, have entered into an agreement to jointly own and operate Brazilian mobile telecommunications company Nextel Brazil.

Initially and subject to certain conditions, AINMT will invest $50 million for a 30% stake in Nextel Holdings S.à r.l. (the “Company”), a wholly-owned subsidiary of NII, which owns Nextel Brazil. AINMT will have the option to invest an additional $150 million in the Company. If such option is exercised, AINMT’s total $200 million new equity investment would result in a 60% controlling stake in the Company. NII will contribute capital in accordance with the Investment Sequencing described below and retain a 40% stake in the Company if AINMT exercises its option.

The newly-formed partnership will benefit from AINMT’s significant experience in the telecom space and financial backing from AINMT’s shareholders, including Access Industries, a global technology, media and telecom and industrial group. The partnership is expected to provide Nextel Brazil with a significant increase in capital to revitalize the business and enable it to pursue a growth strategy that NII could not fund alone.

Assuming AINMT’s option to make the additional $150 million investment is exercised, Nextel Brazil would have an enhanced financial profile to pursue a newly developed commercial strategy that contemplates continued investments in Nextel Brazil’s key markets with a focus on expanding its subscriber base.

Brazilian consumers will benefit from the combination of two leading telecommunications companies focused on the consumer experience and enhanced offerings in an evolving data-driven wireless market. A stronger Nextel Brazil will be able to provide consumers with more alternatives, better service and best practices currently being deployed by AINMT in Scandinavia.

In Brazil, Mundie Advogados advised AINMT Holdings AB with a team including Elinor Cotait (Picture), Ana Claudia Beppu, Eduardo Zobaran, Antenori Trevisan, Guilherme Ribas, Francisco Sampaio and Cesar Carvalho.

In US, Weil represented AINMT Holdings AB.

In US, Jones Day advised NII Holdings, Inc. with a team led by Wade Angus and Bob Profusek.

In Brazil, Mattos Filho, Veiga Filho, Marrey Jr. e Quiroga Advogados advised NII Holdings, Inc. with Moacir Zilbovicius, Fabio Ferreira Kujawski, Andrea Bazzo Lauletta, Marcio Dias Soares, Vilma Toshie Kutomi, Rodrigo Arthur Egual de Carvalho, Juliana Katsue Motinaga Sato, Carla Tredici Christiano, Rafaella Di Palermo Perez, Aline Marques Fidelis and Pablo Enrique González Anciola.

Involved fees earner: Eduardo Zobaran – Mundie e Advogados; Francisco Amaral de Almeida Sampaio – Mundie e Advogados; Giovanna de Almeida Rizzo – Mundie e Advogados; Elinor Cotait – Mundie e Advogados; Ana Claudia Beppu dos Santos Oliveira – Mundie e Advogados; Antenori Trevisan Neto – Mundie e Advogados; Guilherme Ribas – Mundie e Advogados; Moacir Zilbovicius – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Juliana Katsue Motinaga Sato – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Rodrigo Arthur Egual de Carvalho – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Fabio Ferreira Kujawski – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Andréa Bazzo Lauletta – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Carla Tredici Christiano – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Marcio Dias Soares – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Vilma Toshie Kutomi – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Aline Marques Fidelis – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Rafaella Di Palermo Perez – Mattos Filho Veiga Filho Marrey Jr & Quiroga; Wade Angus – Jones Day; Robert Profusek – Jones Day;

Law Firms: Mundie e Advogados; Mattos Filho Veiga Filho Marrey Jr & Quiroga; Jones Day;

Clients: NII Holdings; AINMT Holdings AB;

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Author: Ambrogio Visconti.