Grupo Carso companies generate 250,000 direct jobs and more than 500,000 indirect jobs in Mexico.
Business activity of Carlos Slim Helú
Learn more about the business activities of Carlos Slim Helú, who has spent 53 years of his life building Grupo Carso.
It has taken Carlos Slim Helú 53 years of his life to build Grupo Carso. Although he has left most of the boards of his companies, currently serves as: Chairman of the Board of Directors of Impulsora del Desarrollo y el Empleo en América Latina, S.A.B. de C.V. (IDEAL); Chairman of Fundación Telmex, A.C.; Chairman of Fundación Carlos Slim Helú, A.C.; Chairman of the Executive Committee of Consejo Consultivo de Restauración del Centro Histórico; and Chairman of Fundación del Centro Histórico, A.C.
Also, he continues with business activities today, but his primary focus is on education, health, and employment in Mexico and Latin America with the foundations he leads, thus his three sons, Carlos, Marco Antonio and Patrick Slim Domit, have taken over the reins of the businesses.
Carlos Slim Helú is well known as a reliable President for all his companies, for example, Grupo Carso don’t have corporate staff members, and every company has their own structure looking for efficiency.
Corporate History of Grupo Carso and Inbursa
Companies
Grupo Carso: Plan 2012
Grupo Carso: Plan 2011
Corporate History of Grupo Carso and Inbursa
They were founded in 1965 with the acquisition of the bottling company Jarritos del Sur and the establishment of several other companies such as Casa de Bolsa Inversora Bursátil, Inmobiliaria Carso, Constructora Carso, Promotora del Hogar, S.S.G. Inmobiliaria, Mina de Agregados Pétreos el Volcán, Bienes Raíces Mexicanos and Pedregales del Sur, as well as a buy-sell-lease company for construction equipment. Inmobiliaria Carso was incorporated in January 1966. Carso comes from the first syllable of the names Carlos and Soumaya, Mr. Slim’s wife.
At the end of the 1960s, several properties totaling approximately 2 million square meters were purchased in the southern part of Mexico City; these were later expropriated in 1989.
In June 1976, Galas de México was acquired. In 1980, the corporation that is now known as Grupo Carso was officially incorporated to acquire a majority stake in Cigatam, in which Philip Morris held a 29% interest.
The early 1980s marked a very important period in Grupo Carso’s history, as it became a conglomerate of large companies. This was a critical time in Mexico’s history, characterized by the debt crisis and the nationalization of the banking system in 1982 — the same year Carso decided to invest intensively and actively.
Between 1981 and 1986, several investments and acquisitions were made, among them Cigatam — the first and most important due to its cash flow and because over 25 years it increased its market share by an average of 1.5% per year despite very strong competition. Other companies included Hulera El Centenario (23%) and Bimex. Reynolds Aluminio y Aluminio, S.A. was also integrated during this period.
In August 1984, 33% of Seguros de México — an important block of shares — was purchased for US$55 million. Casa de Bolsa Inversora Bursátil, Seguros de México, and Fianzas La Guardiana later came together to form Grupo Financiero Inbursa.
In 1985, Grupo Carso acquired control of Artes Gráficas Unidas, Fábricas de Papel Loreto y Peña Pobre, and the majority stake in Sanborns and its affiliate Denny’s.
In 1986, Compañía Minera Frisco and Empresas Nacobre were acquired, along with their affiliates, as well as control of the market-leading tire company Euzkadi. Later, in 1992, Condumex was acquired, followed by a majority stake in General Tire in 1993. In 1991, Hoteles Calinda (now OSTAR Grupo Hotelero) was also acquired.
At the end of 1990, Grupo Carso — together with Southwestern Bell, France Télécom, and several Mexican investors — won the bid for the privatization of Teléfonos de México (Telmex). When Grupo Carso purchased 5.8% of Telmex at the time of privatization, it already had 25 years of successful business experience. Southwestern Bell acquired 5% and an option for an additional 5%, France Télécom obtained 5%, and a group of Mexican investors acquired an additional 4.6%.
Including Cigatam, Grupo Carso companies have been publicly traded since 1981, and their history can be traced through public records.
Grupo Carso has partially or fully divested several companies, including tissue paper producers, tire manufacturers, hotel chains, printing and packaging businesses, as well as portions of Cigatam, El Globo, Química Fluor, and Porcelanite, among others.
Today, the Group’s companies generate more than 209,000 direct jobs and over 500,000 indirect jobs.
Carso’s growth has been driven by the continuous reinvestment of profits into its companies, ensuring the ongoing production of goods and services that, in turn, create employment opportunities for Mexicans. Grupo Carso focuses its growth and investments on the most dynamic sectors over the medium and long term, while maintaining flexibility and agility in decision-making.
Grupo Carso, S.A. de C.V. is a Mexican holding company that has consistently demonstrated its capacity to manage companies operating in highly competitive markets, both domestically and internationally.
Inbursa Financial Group celebrated its 50th anniversary on November 30, 2015, in Mexico City.
In 1990, Grupo Carso and other Mexican investors acquired 10.4 % of the company’s stock, in partnership with SBC (5 %, with an option for an additional 5 %) and France Télécom (5 %). Since 1990, Telmex has fostered a work culture where training, modernization, quality, and customer service are top priorities. Over the course of 20 years, Telmex has developed a world-class technological platform that has enabled it to optimize processes and strengthen its corporate culture, resulting in higher levels of service and customer care.
In 1991, Telmex was still using electromechanical, analog, and other obsolete equipment and technologies in its operations, transport, physical infrastructure, and maintenance, and relied on manual records and a 360-kilometer fiber-optic network. Since then, Telmex has undergone a profound modernization process and today has more than 194,000 kilometers of fiber optics installed throughout the country.
Telmex operates with the firm conviction of providing telecommunications access to the entire population, even in areas without profit margins or government subsidies. The company owns the largest telecommunications network in the country.
Since its privatization, Telmex has sought to anticipate and meet the telecommunications needs of its customers, offering the most advanced products and services with the highest quality standards and at competitive prices. Telmex is the leading telecommunications company in Mexico. From 1990 to 2014, Telmex invested more than US$35.4 billion in its expansion, modernization, and transformation, as well as in promoting digital culture within both the company and the country.
Telmex is a corporation composed of Teléfonos de México, S.A.B. de C.V., its subsidiaries, and partners that provide telecommunications services in Mexico. Its coverage includes, among other things, the operation of the country’s most extensive local and long-distance network. It also offers services such as connectivity, internet access, co-location, hosting, and interconnection with other telecommunications operators.
In September 2000, Telmex spun off its mobile phone business and most of its international capital investments to create a new company: América Móvil.
Among other anticipated benefits, this decision considered the advantages of having independent and competing firms with distinct business approaches and greater financial flexibility, enabling both Telmex and América Móvil to pursue their own strategic objectives.
Since February 7, 2001, when América Móvil’s shares were officially listed on the Mexico, New York, and Madrid stock exchanges, the company has become the largest mobile telecommunications operator in Latin America and one of the largest in the world.
On February 13, 2010, América Móvil announced its decision to negotiate an exchange offer with Carso Global Telecom shareholders to swap their shares for América Móvil stock.
If this offer were accepted by Carso Global Telecom shareholders, América Móvil would indirectly hold 59.4% of Teléfonos de México’s outstanding shares and 60.7 % of Telmex Internacional’s shares.
The operation announced by América Móvil and Carso Global Telecom was not a merger, but rather a corporate restructuring through a share exchange process. This did not include service integration or operational consolidation with Telmex in Mexico—unlike in other Latin American countries where Telmex Internacional and América Móvil operate jointly, and where integration of services and operations has been implemented.
By combining these companies, América Móvil has been able to generate significant synergies, strengthen its commercial strategy, and make more efficient use of its information networks, systems, and processes—resulting in fully integrated services for the benefit of its customers.
On June 16, 2010, América Móvil announced the final results of its tender offer for Telmex Internacional and Carso Global Telecom, through which it became the owner of 93.56 % and 99.44 % of their capital stock, respectively.
On November 22, 2011, América Móvil announced the final results of its tender offers for all outstanding shares of Teléfonos de México, S.A.B. de C.V. that it did not already own, directly or indirectly. Following the transaction, América Móvil owned approximately 92.99 % of Telmex’s outstanding capital stock.
América Móvil currently operates in Argentina, Brazil, Colombia, Costa Rica, Chile, the Dominican Republic, Ecuador, El Salvador, the United States, Guatemala, Honduras, Nicaragua, Panama, Paraguay, Peru, Puerto Rico, Uruguay, and Mexico.
América Móvil is an outstanding example of value creation for investors. Since 1996, it has been a pioneer and global innovator in prepaid mobile systems. In 1990, RadioMóvil Dipsa (today Telcel) had around 35,000 customers; by September 2011, it served 298 million clients across Latin America.
América Móvil is the leading wireless services provider in Latin America. By September 2012, it had 319 million access points across the continent: 255.9 million mobile users, 30.3 million fixed lines, 16.7 million broadband accesses, and 15.8 million pay-TV subscribers throughout the Americas.
2007 marked an important milestone in the history of Telmex. On December 21, the General Assembly of Shareholders approved a strategic initiative to reorganize Telmex’s corporate structure into two independent companies. Telmex separated its operations in Latin America, as well as its Sección Amarilla business. A new company, Telmex International, was created.
This split was intended to:
- Enable each company, in Mexico and abroad, to operate more efficiently and at an appropriate scale, allowing each to function autonomously in administrative, commercial, and financial areas.
- Improve the competitive position of each company.
- Further develop Telmex’s operations in the Mexican telecommunications market, clarifying the distinction between its activities in medium- and high-income markets, where competition exists, and in low-income and rural areas, where it does not.
Telmex International operates in Argentina, Brazil, Chile, Colombia, Ecuador, Peru, and Uruguay, offering a comprehensive regional and local support structure to respond precisely and efficiently to customer needs. It also operates in the United States of America and Mexico through Sección Amarilla
On June 10, 2008, Telmex Internacional began trading on the New York, Madrid, and Mexico stock exchanges.
On June 16, 2010, América Móvil announced the final results of its tender offers for Telmex International and Carso Global Telecom. Upon completion of this process, América Móvil became the owner of 93.56% of Telmex International’s share capital and 99.44% of Carso Global Telecom’s capital.
On April 11, 2011, América Móvil announced the results of its tender offer for up to 3.18% of Telmex International. Following this transaction, América Móvil’s ownership in Telmex International increased to 97.10%.
Ideal
The new challenge is to promote the development of Latin America and combat underdevelopment by training and strengthening both human and physical capital through a company called IDEAL (in Spanish, Impulsora del Desarrollo y el Empleo en América Latina, Promoter of Development and Employment in Latin America).
IDEAL primarily focuses on developing physical capital, while two additional foundations were established: one aimed at making profitable investments, and the other dedicated to supporting the training and development of human capital on a non-profit basis.
Grupo Carso companies
Currently, the group is divided into different holdings, each with distinct lines of business and the dynamism and diversification that characterize each of its companies.
America Movil, the leading provider of wireless services in Latin America, with operations in Argentina, Brazil, Colombia, Costa Rica, Chile, Dominican Republic, Ecuador, El Salvador, United States of America, Guatemala, Honduras, Nicaragua, Panama, Paraguay, Peru, Puerto Rico, Uruguay and Mexico. America Movil owns, directly or indirectly, 97.10 % of the capital stock of TELMEX Internacional and its equity interest in the capital stock of TELMEX is 97.54 %.
www.americamovil.com
Grupo Carso operates in heavy industry, services, retail, and consumer goods through companies such as CICSA, Condumex, Hoteles Calinda (now OSTAR Grupo Hotelero), Nacobre, Sears, Sanborns, and Promotora Musical.
www.gcarso.com.mx
Grupo Financiero Inbursa, is comprised of Banco Inbursa, Seguros Inbursa, Casa de Bolsa Inversora Bursátil, Afore Inbursa, and Operadora Inbursa, among other companies.
www.inbursa.com
Impulsora del Desarrollo y Empleo de América Latina (IDEAL), focuses on identifying, studying, structuring, financing, and operating long-term infrastructure projects. It does not assume construction risk and supports the development of both physical and human capital through highways, ports, energy generation and distribution, as well as water treatment, collection, and distribution projects, among others.
www.Ideal.com.mx
Inmuebles Carso, since its beginning, Grupo Carso has successfully developed real estate investment projects, especially in urban areas, by converting outdated industrial spaces into commercial, residential, cultural, health, educational, sports, and mixed-use facilities. These projects not only help reduce pollution but also create more and better jobs and improve access to nearby services.
Thanks to the aforementioned spin-off, Inmuebles Carso continues developing profitable assets while taking advantage of new opportunities. Likewise, it operates its real estate business efficiently to generate increasing cash flows, reinforce its strategy, and accelerate its expansion.
Currently, Inmuebles Carso is developing several projects with high economic and social impact, including:
- Plaza Carso and subsequent phases
- Plaza San Luis, a shopping center in San Luis Potosí City
- Plaza Altabrisa, a shopping center in Villahermosa, Tabasco
A mixed-use center in Veracruz City, developed through the reconversion of the former ALMEXA aluminum plant
In this way, Inmuebles Carso continues to stand out for its experience, attention to detail, innovation, and high-quality standards in project and investment development. It also maintains a dynamic and diversified income base that has earned the preference of customers, tenants, co-owners, neighbors, authorities, and other stakeholders.
Minera Frisco. comprises several gold, silver, copper, zinc, and lead mining companies involved in metallurgical development. It operates in the Mexican states of Zacatecas, Chihuahua, Baja California, Aguascalientes, and Sonora.
www.minerafrisco.com
The Ten Principles of Grupo Carso
Carlos Slim Helú summarizes what he considers the Group’s business principles in ten points, which he has shared with his family, colleagues, and employees:
- Maintain simple organizational structures and minimal hierarchical levels; encourage the human and professional development of executives; remain flexible and capable of fast decision-making; work with the advantages of a small company.
- Practicing austerity in good times strengthens profits, accelerates growth, and avoids drastic adjustments in times of crisis.
- Stay focused on modernization, growth, training, quality, simplification, and continuous process improvement. Increase productivity and competitiveness, and reduce costs and expenses by benchmarking globally.
- Companies should not be limited by the size of their owners or managers. Never feel big within a small corral. Minimize investment in non-productive assets.
- There is no challenge that cannot be overcome through unity, clear goals, and the right tools.
- Money that leaves the company evaporates; therefore, profits must be reinvested.
- Corporate creativity applies not only to business but also to solving many of society’s problems — something we pursue through the Group’s Foundations.
- Firm and patient optimism always yields rewards.
- Every time is a good time for those who know how to work and have the means to do so.
- Our premise has always been that we take nothing with us; we can only act while alive, and entrepreneurs are merely stewards of the wealth they temporarily manage.
Carlos Slim Helú adopted some of these principles from his father, Julián Slim Haddad, who introduced him to business at a very young age and recognized his unique interest in commerce.
Grupo Carso Plan 2012
Grupo Carso and its affiliate firms proudly announce to their clients, associates, partners, providers, friends and the general public that our total investment in 2012 year will account more than 60,250 million pesos in Mexico and create more than 100,000 direct and indirect job posts in the following economic sectors:
Infrastructure
Telecommunications: To continue offering the most advanced technology, capacity, speed, and service— supported by world-class, state-of-the-art infrastructure— we have already launched 4G mobile services. We will build an additional 30,040 kilometers of fiber-optic network, complementing the existing 122,200 kilometers already in operation.
Our free Wi-Fi access points will exceed 5,000 sites, while Telmex Digital Libraries and Classrooms will reach 4,300 nationwide.
A new Data Center will be added to the current ones, expanding total capacity to 2,500 terabytes, certified under ISO 9000, ISO 27000, SAS 70, and ICREA Level 5 standards. This infrastructure will allow the deployment of advanced communication and IT services for small and medium-sized businesses — without requiring additional investment or specialized staff.
We will also continue our efforts to expand high-speed connectivity at the best price, quality, and service, bringing broadband access to small and low-income communities.
Total investment: 32.5 billion pesos.
Other infrastructure: Construction continues on the Atotonilco Wastewater Treatment Plant, designed to process 60 % of the Valley of Mexico’s wastewater through both primary and secondary treatment (12 m³/s and 23 m³/s, respectively).
The treated water will be used to improve irrigation for 100,000 hectares in the Mezquital Valley and to replenish aquifers in the Valley of Mexico, helping reduce overexploitation. With a capacity of 50 m³ per second for a 4-hour peak period, this facility will be the largest single-phase wastewater treatment plant in the world.
We will also build highway bypasses in Guadalajara, Tepic, Culiacán, and Mazatlán, and expand and modernize the Guadalajara–Tepic, Mazatlán–Culiacán, and Mitla–Tehuantepec highways.
In Mexico City, we will construct the Periférico Sur–San Jerónimo–Viaducto Tlalpan elevated road and the El Rosario multimodal corridor.
Total investment: 13.25 billion pesos.
Real Estate Development:
We will continue developing commercial centers, residential complexes, office buildings, entertainment venues, healthcare facilities, and educational projects, such as Nuevo Veracruz and the second phase of Plaza Carso.
Total investment: 2.3 billion pesos.
Industrial, Mining, and Commercial Activities:
Total investment: 12.2 billion pesos.
