Millicom International Cellular has confirmed talks with Xavier Niel's Atlas Investissement over a potential buyout, but noted that the offer doesn't meet the value of the company.

It comes around a month after reports emerged that Niel, founder of French telco Iliad Group, was said to be weighing up a move for the Latin American telco group Millicom.

Atlas already owns a 29 percent stake in the company.

As reported by Reuters, an independent committee of Millicom board members said the offer price would "significantly undervalue Millicom and not be in the best interests of Millicom's shareholders."

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

Atlas is the biggest stakeholder in the telco, first scooping a seven percent stake in the telco back in 2022.

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.