Millicom International Cellular has confirmed that its board of directors has recommended the company's shareholders reject Atlas Investissement's buyout offer.

In a statement, the board echoed its previous sentiment that the offer "undervalues the company."

Earlier this month, Atlas, which is the investment vehicle of French billionaire Xavier Niel, submitted a bid of $4.1 billion for Latin American telecoms group Millicom (Tigo).

The offer of $24 per share was deemed not good enough by the board.

"On July 15, 2024, the Independent Committee unanimously determined that the offers significantly undervalue Millicom and are not in the best interests of the Shareholders and issued this recommendation statement," said the independent committee of the board of directors of Millicom.

The board said the offer "does not adequately take into account expectations based on Millicom’s long-range plan," and Millicom's financial expectations.

Atlas already owns a 29 percent stake in the company, and is the biggest stakeholder in the telco, first scooping a seven percent stake in the telco back in 2022.

Millicom operates as Tigo across several Latin American markets, serving around 41 million mobile customers.

Telecoms tycoon Niel owns French telecom provider Iliad and has investments across the sector in nine European countries with nearly 50 million active subscribers. He also owns a 2.5 percent stake in UK operator Vodafone.