The Company is a leading convergent telecommunications operator in Argentina, that combines the provision of fixed and mobile telecommunications, pay-TV, and internet services. It also provides some of these services in Uruguay, and Paraguay.

Telecom’s major shareholders are: (i) Fintech Telecom LLC (40.9%); (ii) Cablevisión S.A., part of Grupo Clarin (39.1%); and (iii) the Administración Nacional de la Seguridad Social, the Argentine state-owned pension fund (11.4%). The Company’s remaining shares free float on New York Stock Exchange and the Buenos Aires Stock Exchange.

The total Project cost is estimated at US$300m, which will be financed with a combination of internal cash generated by the Company, and the financial package provided by IFC. The proceeds will partly finance Telecom’s capital expenditure plan for the next two years, to expand and enhance mobile and fixed broadband coverage in Argentina and to upgrade its existing network.

The Project will be implemented in multiple locations across the Company’s network in Argentina.

The corporate governance (“CG”) risks are deemed low, as the Company follows adequate practices. This assessment is based on the IFC’s CG Methodology that includes analyses about commitment to good CG practices, structure and functioning of board of directors, control environment and processes, transparency, protection of minority shareholders’ rights, and stakeholder engagement.

 This is a Category B project according to IFC's Policy on Environment and Social Sustainability (2012). Based on the information reviewed by IFC, the Project will have limited adverse E&S impacts that are few, site-specific, largely reversible and readily addressed through existing mitigation measures and good international industry practices.

Key areas of E&S focus include: potential impacts associated with construction and operation of telecommunications infrastructure; labor and working conditions (including employees' and contractor workers' occupational health and safety (OHS)); HR policies and labor practices, including provisions for addressing risks of gender-based violence and harassment (GBV&H); worker’s grievance mechanism; freedom of association and relationship with unions; pollution prevention and abatement; resource efficiency; waste and hazardous materials management; stakeholder engagement and grievances; and E&S assessment and risk management during the development of new sites and ancillary infrastructure, including potential impacts on areas of high biodiversity value or indigenous peoples’ lands.