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Telecom Italia ready to consider Oi merger - CEO

2014-11-10 08:51:00| Telecompaper Headlines

(Telecompaper) Telecom Italia has no option but to consider a potential merger with Brazilian operator Grupo Oi as it seeks to strengthen its local unit TIM Brasil, according to the Italian company's CEO Marco Patuano. "I think it's mandatory to explore the possibility of such a big strategic opportunity," Patuano told reporters when asked about Telecom Italia's interest in merging with Oi, subsequently adding that "we're not desperate and we don't want to make a deal at any cost." Telecom Italia's minority investors association Asati has urged the company not to sell its controlling stake in TIM Brasil, but to explore the possibility of a merger with Oi. In a letter to the Telecom Italia board, Asati said an agreement with Oi would represent a great opportunity and could be reached with a "modest" capital hike. Patuano has repeatedly emphasised the value and strategic importance of TIM Brasil to Telecom Italia, a stance backed up by leading shareholders such as Marco Fossati. However, Brazilian operator Oi recently confirmed that it has hired BTG Pactual to consider a takeover bid for TIM Brasil, with Telecom Italia's unit looking to counter that initiative by hiring Banco Bradesco to analyse "strategic alternatives".

Tags: ready italia ceo telecom

 

Dos Santos joins Portugal Telecom race

2014-11-10 01:00:00| Total Telecom industry news

Firm controlled by Isabel dos Santos makes a bid for Portuguese incumbent.

Tags: dos portugal race telecom

 
 

Telecom reports 985 mn in net profits

2014-11-07 15:24:47| Telecom - Topix.net

Milan, November 7 - Telecom Italia on Friday reported a net profit of 985 million euros in the first nine months of 2014, compared to a 902 million loss in 2013, which reflected an impairment loss on goodwill. Compared to the first nine months of 2013, revenues fell by 6% to 15,972 million euros in organic terms, and EBITDA fell 6.4% to 6,588 million euros.

Tags: net reports telecom profits

 

Telecom Italia slows sales fall to 4.5% in Q3 on fibre gains

2014-11-07 08:41:00| Telecompaper Headlines

(Telecompaper) Telecom Italia reported a 4.5 percent year-on-year fall in third-quarter revenues to EUR 5.4 billion, hurt by a slowdown at its Brazil unit and a recession-hit domestic market. However, the operator welcomed the result as a reversal of its recent revenue decline compared to falls of 11.9 percent and 11.2 percent in the previous two quarters. "There are concrete signs of recovery in the domestic market," said Telecom Italia CEO Patuano in a statement, adding that "we have overcome the price war." EBITDA declined 8 percent to EUR 2.24 billion, and EBITDA margin fell to 41.4 percent from 41.4 percent a year ago. Net profit for the first nine months of the year came in at EUR 985 million compared to a EUR 902 million loss in the same period of 2013, reflecting the impairment loss on goodwill. Capex for the quarter fell to EUR 933 million from EUR 1.4 billion in the year-earlier period, which the company attributed to the abandonment of certain platforms and the simplification of industrial processes, adding that the savings were partly redirected to developing its 4G and fibre networks, which saw a EUR 102 million year-on-year increase in investment. "We're keeping our promises on investments in ultra fast broadband infrastructures and have already covered 100 cities with optical fibre and over 2,500 municipalities with LTE," said the company's chairman Giuseppe Recchi.

Tags: sales fall italia telecom

 

Telecom Italia sees domestic recovery despite falling revenue, profit

2014-11-07 01:00:00| Total Telecom industry news

CEO Marco Patuano says Italian incumbent has 'overcome' the price war.

Tags: italia profit recovery domestic

 

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