SCHEDULE: Millicom: Niel Family's Atlas Investissement Updates 42.2% Stake

Atlas Investissement, controlled by the Niel Family, updated its Schedule 13D filing for Millicom International Cellular SA, detailing changes to its call spread option transactions and confirming a 42.2% beneficial ownership.

Summary

• Atlas Investissement, along with its controlling entities Iliad Holding, Maya, and the Niel Family, beneficially owns 70,470,018 Common Shares of Millicom International Cellular S.A.
• This represents 42.2% of Millicom's outstanding Common Shares, calculated based on 167,084,562 shares as of August 31, 2025.
• The filing details an amendment to European-style call spread option transactions entered into on August 20, 2025, which initially provided economic exposure to up to 44,444,440 Common Shares (40 tranches of 1,111,111 shares each).
• The initial hedging period for these options was extended from 10 to 20 business days following August 20, 2025, via an amendment on September 2, 2025.
• Upon the conclusion of the extended hedging period on September 18, 2025, the aggregate number of options was significantly reduced, with the Transactions now relating to a final aggregate of 1,691,380 Common Shares.

Sentiment

Score: 6

Explanation: The filing is largely neutral, being a procedural update to a significant ownership stake. The clarification of option transactions reduces some ambiguity, but the substantial reduction in option-related shares could be seen as slightly less bullish than initial maximum exposure, hence a slightly positive score for clarity but not overwhelmingly so.

Positives

• A significant, stable shareholder group (Niel Family/Atlas Investissement) maintains a substantial 42.2% stake, indicating continued strategic interest in Millicom.
• The update clarifies the status of complex option transactions, reducing uncertainty regarding their specific impact on share count and derivative exposure.

Negatives

• The substantial reduction in the aggregate number of options under the call spread transactions, from a potential exposure of up to 44,444,440 Common Shares to a final 1,691,380 Common Shares, suggests a significant decrease in the economic exposure derived from these specific derivatives, which could be interpreted as a less aggressive bullish stance or a partial unwinding of a hedging strategy.

Risks

• The nature of call spread option transactions introduces complexity and potential volatility in the beneficial ownership structure, as these can be settled in shares or cash.
• Changes in the Niel Family's investment strategy or further adjustments to their derivatives positions could impact Millicom's share price and corporate control dynamics.

Future Outlook

No explicit forward-looking statements or guidance were provided in this filing.

Industry Context

This filing reflects a significant, long-term stake by a prominent European telecom investor (Xavier Niel, founder of Iliad) in a Latin American telecom operator (Millicom). This suggests continued interest in the regional telecom market, potentially for consolidation or strategic influence, despite the reduction in derivative exposure.

Stakeholder Impact

• Shareholders: Provides transparency on a major shareholder's position and derivative activities, potentially influencing market perception of control and strategic direction. The continued large stake by the Niel Family could be seen as a vote of confidence.
• Management: Confirms the continued presence and influence of a significant shareholder group, which may impact strategic decisions and long-term planning.

Key Dates

Recommendation

The filing is a routine disclosure of a significant, long-term beneficial ownership stake and an update on derivative positions. It does not present new information that would fundamentally alter the investment thesis for Millicom, nor does it suggest a significant change in the Niel Family's overall commitment. Investors should continue to hold based on Millicom's underlying business fundamentals rather than this procedural update.

Keywords

Millicom International Cellular, Atlas Investissement, Xavier Niel, Schedule 13D/A, Beneficial Ownership, Common Shares, Call Options, Telecommunications, Luxembourg, Shareholder Stake