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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 14 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported) September 30, 1997
MASTEC, INC.
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(Exact Name of Registrant as Specified in Charter)
Delaware 0-3797 59-1259279
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(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
3155 N.W. 77th Avenue, Miami, Florida 33122-1205
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (305) 599-1800
N/A
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(Former Name or Former Address, if Changed Since Last Report)
Item 5. Other Events
On September 30, 1997, the Company announced that
it had agreed to sell 5.5% of Supercanal Holding, S.A., an
argentine cable television operator, to Multicanal, S.A.,
one of the leading cable television operators in Argentina,
for $20 million in cash. Supercanal shareholders have agreed
to convert a portion of the Company's 23.3% equity stake in
Supercanal ordinary shares to preferred, non-voting shares
with registration rights.
On October 6, 1997, the Company announced that it
had agreed to sell its indirect equity interest in Consorcio
Ecuatoriano de Telecomunicaciones S.A. (Conecel), an
Ecuadorian cellular telephone company, to Devono Company
Limited, a British Virgin Islands holding company, for $20
million in cash and $45 million worth of non-voting common
stock of Conecel. Devono has also agreed to grant the
Company registration rights on the Conecel shares.
On October 10, 1997, the Company announced that the
labor unions representing the workers of Sintel, S.A, the
Company's Spanish subsidiary, were suspending the work
stoppages at the subsidiary for 20 days and would meet with
management to discuss negotiations for a new labor agreement
The company has issued press releases announcing
the foregoing events, copies of which are attached as
exhibits 99.1, 99.2, and 99.3, which are incorporated herein
by reference.
Item 7. Financial Statements and Exhibits.
(c)
99.1 Press release dated September 30,1997.
99.2 Press release dated October 6, 1997.
99.3 Press release dated October 10, 1997.
SIGNATURES
Pursuant to the requirement of the Securities
Exchange Act of 1934, the Registrant has duly caused this
report to be signed on its behalf by the undersigned
thereunto duly authorized.
Date: October 16, 1997. /s/ Edwin D. Johnson
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Edwin D. Johnson
Senior Vice President-
Chief Financial Officer
(Principal Financial Officer
and Authorized Officer)
EXHIBIT 99.1
NEWS
For Immediate Release From MasTec, Inc.
September 30, 1997 3155 N.W. 77th Avenue, Suite 135
Miami, Florida 33122-1205
Tel : (305) 599-1800
Fax : (305) 406-1908
For more information contact:
Edwin D. Johnson,
Chief Financial Officer
ejohnson@mastec.com
MASTEC ANNOUNCES PARTIAL SALE OF SUPERCANAL HOLDINGS
MIAMI, FL - MasTec, Inc. (NYSE: MTZ) announced today that Multicanal, S.A., one
of the leading cable television operators in Argentina, has acquired an
additional 5.5% of Supercanal Holding, S.A., an Argentine cable television
operator, from MasTec for $20 million in cash. In addition, MasTec has obtained
agreement from Supercanal shareholders to convert a portion of its remaining
23.3% equity stake in Supercanal ordinary shares to preferred, non-voting shares
with registration rights. MasTec will retain approximately 13.5% voting interest
in the company.
Jorge Mas, President and Chief Executive Officer of MasTec, said: "The value
created during our two year investment in Supercanal is indicative of the
tremendous opportunities we see in South America. Our core business of
communications infrastructure services provides us with an excellent platform
from which to see these opportunities as they develop and we are confident that
additional high yield investments may be obtained in the future. We have elected
to retain a significant interest in Supercanal as we believe additional value
can be created for our shareholders."
Opening the Lines of Communication(R) worldwide, MasTec is one of the world's
leading telecommunications and related infrastructure service providers, serving
clients throughout the United States, Latin America and Spain.
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EXHIBIT 99.2
NEWS
For Immediate Release From MasTec, Inc.
October 6, 1997 3155 N.W. 77th Avenue, Suite 135
Miami, Florida 33122-1205
Tel : (305) 599-1800
Fax : (305) 406-1908
For more information contact:
Edwin D. Johnson,
Chief Financial Officer
ejohnson@mastec.com
MASTEC ANNOUNCES PARTIAL SALE OF CONECEL HOLDINGS
MIAMI, FL - MasTec, Inc. (NYSE: MTZ) announced today that Devono Company
Limited, a British Virgin Islands holding company, has agreed to buy the
Company's indirect equity interest in Consorcio Ecuatoriano de
Telecomunicaciones S.A. (Conecel), an Ecuadorian cellular telephone company, for
$65 million. The agreement calls for the payment of $20 million in cash and $45
million worth of non-voting common stock of Conecel. As the controlling
stockholder of Conecel, Devono has agreed to grant MasTec registration rights on
the Conecel shares.
MasTec recently announced the sale of a 5.5% interest in Supercanal Holding,
S.A., an Argentine cable television operator. The initial Supercanal and Conecel
investments were both made in 1995 and have a current cost basis of $16.6
million and $29.0 million, respectively. The two transactions place a combined
value on these investments of approximately $169.7 million. The combined cash
proceeds of $40 million will be applied against the company's revolving credit
facilities.
Opening the Lines of Communication(R) worldwide, MasTec is one of the world's
leading telecommunications and related infrastructure service providers, serving
clients throughout the United States, Latin America and Spain.
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EXHIBIT 99.3
NEWS
For Immediate Release From MasTec, Inc.
October 10, 1997 3155 N.W. 77th Avenue, Suite 135
Miami, Florida 33122-1205
Tel : (305) 599-1800
Fax : (305) 406-1908
For more information contact:
Edwin D. Johnson,
Chief Financial Officer
ejohnson@mastec.com
SINTEL UNION SUSPENDS WORK STOPPAGES
MIAMI, FL - MasTec, Inc. (NYSE: MTZ) announced today that the labor unions
representing the workers of Sintel, S.A., the company's Spanish subsidiary, have
agreed to suspend the work stoppages at the subsidiary for 20 days and have
agreed to meet with management to attempt to negotiate a new labor agreement.
Last month Sintel filed a petition with the Spanish labor authority to approve a
restructuring of Sintel's work force and in response to Sintel's petition the
unions commenced half day stoppages two to three days weekly. Sintel also has
suspended the processing of its labor petition while it negotiates with the
union.
Opening the Lines of Communication(R) worldwide, MasTec is one of the
world's leading telecommunications and related infrastructure service providers,
serving clients throughout the United States, Latin America and Spain. For more
information on MasTec, please see our Web page at http://www.mastec.com.
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