Telecom Italia shareholders reject $1 billion Telefónica offer

Telecom Italia shareholders reject $1 billion Telefónica offer

According to sources in Italy, shareholders in the consortium that controls Telecom Italia rejected a $1 billion offer from Telefónica to purchase part of their shares earlier this month.

Italian business newspaper Il Sole 24 Ore, which did not name its sources, claimed that Telefónica has sought to maintain its Italian partners in Telco in order to avoid potential antitrust issues in Latin America, where Telefónica and Telecom Italia are competitors.

Telefónica presently holds a 46% share in Telco, which controls Telecom Italia with a 22.4% stake. Other Telco shareholders include local banks Intesa Sanpaolo and Mediobanca.

Telecom Italia has meanwhile postponed a board meeting scheduled for this Thursday (September 19) until October 3. The move is expected to provide more time to discuss a potential reorganisation, which could include the pact between the shareholders of Telco.

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