Orange has denied reports that it has been discussing a possible tie-up with Telecom Italia, but it has admitted hiring banks to carry out an assessment of the European telecoms sector. "Orange's financial and strategic management team is working with banks to finetune its view of the evolution of the telecoms sector in the context of a single market on a 5- to 10-year horizon," a spokesman told Reuters, adding that “as far as Orange is concerned, no target has been identified today and no discussion has been opened with Telecom Italia." The company was responding to a Bloomberg report in which unnamed sources indicated that the French operator was exploring a potential combination with Telecom Italia and had opted to focus on expansion rather than an internal restructure. Telecom Italia CEO Marco Patuano also denied any talks with Orange at an event in Rome.
The latest rumours come after Orange CEO Stephane Richard told France’s Journal du Dimanche in March that the operator was interested in a tie-up with Telecom Italia, while the operator’s head of Europe, Gervais Pollisier, said in June that European consolidation would continue as larger groups target single-market operators such as Telecom Italia.
