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Italy: Egypt eyes Telecom Italia for $2B, with one big catch

By  |  April 14, 2014

An Egyptian billionaire is reportedly interested in pumping $2 billion into Telecom Italia, but with one big catch: top stakeholder Telefonica must divest all assets into the Italian company.

A source told reporters Monday that Egypt’s Naguib Sawiris is looking at his second Telecom Italia buyout attempt after his failed stake grab in 2012. The source said, however, that an immediate bid was unlikely.

Sawiris is known to be critical of Spain’s Telefonica for its stake in Telecom Italia, ownership that has introduced conflict in Brazil. Telefonica recently boosted its control over Telecom Italia through increased stake in its holding company; but Telefonica is in direct competition with Telecom Italia in Brazil, as Telefonica owns Brazil-based Vivo while Telecom Italia runs Brazil’s TIM.

Full Content: Reuters

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