A PYMNTS Company

Italy: Telecom Italia overhaul plans unravel in a matter of days

By  |  July 16, 2013
Italy: Telecom Italia overhaul plans unravel in a matter of days

Due to financial disagreements, Telecom Italia’s plans to spin-off its fixed-line business and merge its wireless services with Hutchinson Whampoa Ltd. seem to be over, according to reports. Telecom Italia’s CEO Franco Bernabe developed the merger plans over the last two months to revive the company, which would have seen the wireless branch of the company combine with Hutchinson’s 3 Italia unit. Reports say the deal is off, however, as the parties could not reach an agreement of financial terms of the deal. The merger additionally raised various antitrust concerns, and Italy’s communications watchdog recently issued a ruling to cut fees for consumers to access Telecom Italia’s network, further complicating a merger. Telecom Italia shares are trading at their lowest levels in nearly 16 years, say reports; the company remains in debt three-times its market value.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    Full Content: Bloomberg

    We’d love to be your preferred source for news.

    Please add us to your preferred sources list so our news, data and interviews show up in your feed. Thanks!

    Add as Preferred Source

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