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Portugal: Authorities clear Portugal Telecom, Oi tie-up

By  |  March 20, 2014

Portugal Telecom’s efforts to merge with Brazilian counterpart Oi have progressed as Portuguese competition authorities have reportedly approved of the deal.

According to reports, the merger clearance was anticipated by both parties following Brazilian approval of the transaction last month.

Small bondholders of Portugal Telecom have similarly signed-off on the deal, say reports. Oi is set to acquire up to $2.5 billion worth of Portugal Telecom shares and create a new company, dubbed CorpCo.

While antitrust regulators have offered fairly swift approval of the deal, reports say some Oi minority shareholders criticized the transaction as one that favors larger shareholders.

Full Content: Telegeography

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