Vivendi is open to discuss with Rome over state control on TIM’s network -Breaking
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© Reuters. FILE PHOTO – Telecom Italia’s brand new logo is displayed on a Rome building, Italy, 9 April 2016. REUTERS/Alessandro Bianchi/File PhotoMILAN (Reuters). Telecom Italia (MI)’s (TIM), top shareholder Vivendi(OTC:), is open for discussion about the possibility that Italy takes control of TIM’s fixed-line network. This was a statement made by Vivendi on Sunday.
As TIM investors prepare to review a plan for takeover by U.S.-based fund KKR, the statement signifies a shift in the stance taken by the French media company. It is estimated that the 10.8 billion euros ($12.2billion) deal was presented by KKR.
The French group has resisted the idea that Rome might take control of TIM’s fixed networks until now.
According to a spokesperson from France’s media company, Vivendi is open to any solution that promotes efficiency and modernity in the network while preserving its investment value.
According to the spokesperson, “In this view, the hypothesis that there is a state controlling the network would be open for evaluation if it leads to an institutionally directed strategic project.”
TIM’s fixed-line business is Italy’s largest telecoms infrastructure. It plays a key role in the rollout of broadband, for which Rome will spend billions of euro of European Union funds.
The 10% state investor CDP purchased TIM for oversight purposes and will likely play a central role in future grid plans.
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