Personal is 99.99% owned by Telecom Argentina S.A (“Telecom Argentina”), an operator of fixed (local and long distance), data and mobile voice and internet services. Telecom Argentina is one of the largest private sector companies in Argentina in terms of revenues and number of employees and enjoys a strong reputation in terms of integrity, governance and general operations.

Telecom Argentina is majority owned by Nortel Inversora S.A. (54.7%), with most of the rest of the shares are listed in the Buenos Aires and the New York Stock Exchange. Nortel Inversora S.A. in turn is controlled by Sofora Telecomunicaciones S.A. (78.4%), which is owned by the W de Argentina – Inversiones S.A. (32%) and Fintech Telecom LLC (68%).

The total project cost for the period 2016 to 2018 is estimated at US$600 million. The proposed IFC investment consists of an A Loan of up to $100 million and a mobilization from B Lenders/Parallel loans of up to $400 million.

100.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	100.0
Equity

* These investment figures are indicative

The Company is headquartered in Buenos Aires, Argentina and provides mobile network services throughout the country.

1) The project aims to support the expansion of mobile broadband connectivity, improving significantly the performance of mobile networks countrywide. Despite high mobile penetration, a relevant portion of mobile data is still under 2G/3G technology. Meanwhile, 3G cells have a very high utilization rate as a result of growing demand for data and penetration of smartphones. This investment will support the rollout of much needed additional data capacity, eventually putting Telecom Personal at par with regional peers.

2) Productivity enhancement/Economic growth: Broadband directly contributes towards improving private sector productivity and has a transformative effect on economic and social development. The contribution of broadband connectivity to economic growth and as an enabler to other innovative business models (mobile financial services, e-health, e-education, e-government, e-commerce, IoT, etc.) is widely accepted. The World Bank Group''s "Information and Communications for Development Report" 2009 sites a 1.38% increase in economic growth in low- and middle-income economies for each 10% increase in broadband penetration.

3) Innovation/International competitiveness: Broadband enables access to ideas and idea exchange globally, thus transforming research and development. It facilitates trade in services and globalization and improves countries'' competitiveness. According to the World Economic Forum report, "The Global Information Technology Report 2010-2011", there is a direct correlation between the Network Readiness Index, which measures the use and development of ICTs and countries'' international competitiveness.

4) Improved performance of social services: Availability of broadband improves public services and enhances national business environment and competitiveness. Access to broadband and consequently to greater data transparency and mobility also strengthens the ability to monitor service delivery and accountability in health, health insurance system for the poor, education, early childhood development etc.

5) Competitive Environment: The project will contribute to competition while promoting broader product offerings and higher quality of service.

1) Long term Financing: Although Argentina is gradually returning to debt markets, long-term cross-border bank financing is still not available. IFC''s investment is critical in providing access to long-term funding
2) Mobilization: Other financial institutions rely on IFC''s industry knowledge and strong track record in appraising and structuring telecommunication projects. IFC continues to play a key role mobilizing long term debt financing in Argentina.
3) Building a long term partnership: By supporting a leading telecom group such as Telecom Argentina, IFC has the opportunity to develop a broader partnership. This opportunity could lead towards future IFC investments and/or mobilization of additional financing in Argentina and Paraguay, which is an attractive proposition to Telecom Personal.

Indicator	Metrics	Comments	Calendar Year 2022	Calendar Year 2023	Calendar Year 2024
Payment to Government	Annual Payments ($M)		Not Available	Not Available	Not Available
Country Penetration Rate (%) & Country Total Number of Telecom Subscribers (#)	Country Penetration Rate (%)		Not Available	Not Available	Not Available
Country Penetration Rate (%) & Country Total Number of Telecom Subscribers (#)	Country Total Number of Subscribers (million of subscribers)		Not Available	Not Available	Not Available
Direct Employment (#) - Operations and Maintenance	Employment (#)		Not Available	Not Available	Not Available
Female Direct Employment (#) - Operations and Maintenance	Female Employment (#)		Not Available	Not Available	Not Available

The key environmental and social (E&S) issues associated with this project are in the impacts of tower construction; labor and working conditions (including employee and contractor occupational health and safety); and pollution prevention and abatement. Details are contained in the E&S Review Summary for this project. Environmental and social risks and impacts in this project are expected to be limited, so the project is classified as Category B, according to IFC''s E&S review procedure.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.