ALTÁN Redes is incorporated as a company and holds its first Board Meeting

Mexico City, December 6, 2016. – Today ALTÁN Redes S.A.P.I. de C.V., has been formally established. Altán Redes is the company that will sign the PPP Agreement with the Telecommunications Investment Promotion Agency (Promtel) and with Telecomunicaciones de México (Telecomm), for the design, installation, operation and maintenance of the wholesale broadband network that will provide telecommunications services in Mexico, known as Red Compartida.

According to the terms of the tender, the contract must be signed on or before January 27, and todays step by ALTÁN Redes is decisive in consolidating and launching its project in Mexico. Following the incorporation of the company, a General Shareholders’ Meeting was held, which approved an increase of the company’s share capital up to $150 million dollars, three times higher than the minimum required in the tender documentation.

Subsequently, the Board of Directors met, and, in addition to reviewing in detail the plan for the deployment of the network, agreed to the appointment of Mr. Eugenio Galdón as Chairman of the Company and Mr. Joaquín Coronado as CEO.

The Board of Directors includes representatives of all shareholders, with the exception of Axtel and Megacable who, according to the terms of the Red Compartida tender, cannot have a presence in the management structure. ALTÁN Redes will present this week to the Federal Institute of Telecommunications (IFT) its request for a wholesale concession in accordance with the provisions of the bidding rules.

ALTÁN Redes estimates that by February (2017) it will be installing the first Red Compartida towers, in line with its roll-out plans.

This plan has a first milestone on March 31, 2018 in which the company must provide service to 30% of the population. ALTÁN Redes will cover at least 92.2% of the Mexican population by 2023, when the project is fully deployed. Red Compartida will provide the most advanced broadband services for voice and data with 4G-LTE technology, which today only reaches 50% of the country. It will also provide access to areas where existing operators do not currently provide service.

Red Compartida will provide its services through a new wholesale network with national coverage in the 700 MHz band using 4G-LTE technology, fully IP-based and prepared for 5G. This network will be available to retail operators who want to access the best wireless broadband and voice services.