MEXICO CITY, Feb 13 (Reuters) - Bank Grupo Inbursa, the financial arm of Mexican tycoon Carlos Slim, supported America Movil’s share price on Wednesday by buying the phone company’s shares, a person close to the operation told Reuters.
Shares in America Movil, which Slim controls, fell more than 9 percent on Wednesday a day after the company reported disappointing fourth-quarter results.
“We think that as usual, foreign investors are over-reacting a little ... and that makes it a good moment to boost repurchasing and make bigger acquisitions,” the person said.
Inbursa, Mexico’s sixth largest bank by total assets, purchased about 40 million shares of America Movil on Wednesday morning, the person said. The purchase represented roughly 20 percent of the total shares traded so far on Wednesday and was well above the roughly 5 million America Movil shares Inbursa normally purchases each day, traders estimated.
Inbursa has a mandate to buy up stock of America Movil, which has a share buyback program in operation.