UPDATE 1-Mexico's America Movil plans $1.2 bln share buyback to set up fund

(Adds details of buyback plan, share cancellations and dividends)

MEXICO CITY, March 23 (Reuters) - Mexican telecoms giant America Movil, controlled by the family of billionaire Carlos Slim, said on Tuesday it plans to set up a fund for the buyback of its shares worth 25 billion pesos ($1.2 billion).

The fund would be utilized during April 2021 to April 2022, the company said in a statement.

America Movil will propose the cancellation of all the shares that it holds in its treasury at the time of the meetings, acquired as part of its own buyback program.

The company will also propose to shareholders a dividend of 0.40 pesos per share, the statement said.

Reporting by Cassandra Garrison; Editing by Christian Schmollinger and Rashmi Aich