LONDON (05/04/2000) - IDT Corp. will increase by fourfold its stake in Terra Networks SA, the Internet subsidiary of Spanish telecommunications operator Telefónica SA, IDT announced yesterday.
Under the terms of an agreement, U.S.-based telecommunications carrier IDT will exchange its 49 percent ownership in Terra Networks Access Services and its 10 percent share of Terra Networks Interactive Services, two U.S.-based Internet operations, in return for ordinary Terra Networks stock, IDT said in a statement.
IDT did not disclose further financial details of the agreement.
Terra Networks has been aggressively expanding its Web portal presence in Latin America. [See "Telefónica's Terra Buys Venezuelan Portal," March 10.]The Spanish company operates portals, as well as ISPs (Internet service providers), in Brazil, Mexico, Chile, Peru, Guatemala and the U.S. It also operates a portal, but not an ISP, in Argentina.
IDT, in Hackensack, New Jersey, can be reached at +1-201-928-1000, or via the Web at http://www.idt.net/. Terra Networks, in Madrid, is at http://www.terra.es/.