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Portugal/ Brazil: Telecom Holders Approve Sale of Portuguese Assets

By  |  January 25, 2015

Portugal Telecom SGPS SA shareholders approved the 7.4 $8.4 billion dollar sale of Oi to Altice SA on friday. Portugal Telecom is a minority investor in Oi which lead Brazil’s Oi to gain the Portuguese assets in a merger with Portugal Telecom.

Oi and Portugal Telecom agreed more than a year ago on joining forces. In July, the companies renegotiated the deal to give Portugal Telecom a smaller stake in the combined entity.

A clearance of the sale is crucial for more consolidation in Brazilian telecommunications. Oi, Brazil’s smallest wireless carrier, needs the proceeds as it evaluates a potential bid for Tim Participacoes SA, the local wireless provider controlled by Telecom Italia. Any delay with the Portuguese sale would potentially deter Telecom Italia from making an offer.

Full Content: Ft.com

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