Telefonica del Peru, a division of Spain’s Telefonica, says shareholders have approved a merger with Telefonica Moviles Peru, also owned by the Spanish company. The union is slated to be effective December 31. As part of the deal, TdP says it will absorb all of Telefonica Moviles’ shares. As a result, its market cap will increase to almost $933m from about $839m, according to the firm. Victor Miranda, an analyst with Pacific Credit Rating in Peru, says the move will make TdP the market leader in mobile communication, as Telefonica Moviles has a 60% share. The second largest player is Claro, with a market share of about 30%, says the analyst. Officials from Telefonica and its Peru subsidiaries were not available for comment.