Telefonica is withdrawing from yet another Latin American market. The Spanish telecommunications provider announced the sale of Movistar Mexico on Wednesday. The unit is being acquired for 450 million dollars by a consortium led by telecom services provider Oxio and financial investor Newfoundland. The name and management team of the former Telefonica subsidiary will remain unchanged for the time being. Movistar Mexico serves 20 million customers.

The transaction is part of Telefonica's strategy to focus on its core markets of Spain, Germany, the United Kingdom, and Brazil. In recent months, the group has divested almost all of its South American subsidiaries. Write-downs on these holdings caused Telefonica to report a multi-billion dollar loss in 2025. The Spanish company provided no details on Wednesday regarding potential charges related to the sale of Movistar Mexico.

Telefonica continues to seek a buyer for its Venezuelan subsidiary. CEO Marc Murtra emphasized during the presentation of the 2025 annual results that plans remain unchanged despite the arrest of President Nicolas Maduro by U.S. authorities earlier this year.

(Reporting by Carlos Méndez; writing by Hakan Ersen, editing by Ralf Banser. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)