A PYMNTS Company

Brazil: Telecom Italia won’t rule out TIM dump

 |  July 2, 2014

Telecom Italia is reportedly looking to keep its wireless assets in Brazil through its controlling stake in operator TIM, but reports say the Italian telco is not ruling out a divestiture.

In an interview, Telecom Italia chairman Giuseppe Recchi said that selling TIM “is always an option; it depends on the price.” But TIM amounts to one-third of the firm’s revenue, he said, so it would be strategic to keep the company.

TIM is Brazil’s second-largest wireless operator, according to reports. The company has been the subject of Brazil competition regulator CADE, which is eyeing the nation’s wireless market over concerns of a lack of competition.

CADE’s chief concern, reports say, is the presence of Spain’s Telefonica in Brazil’s market, both through its stake in Telekom Italia and, therefore TIM, as well as its ownership of Brazil unit Vivo.

Full content: Reuters

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.