Telefonica has sold an 8 percent stake in Portugal Telecom (PT). Telefonica confirmed to the Portuguese stock market regulator CMVM (Comissao do Mercado de Valores Mobiliarios) that it has reduced its stake in PT to 18.12 million shares, representing 2.02 percent of the Portuguese operator's share capital. Before the 8 percent stake sale, Telefonica was Portugal Telecom's largest shareholder, controlling a 10 percent stake in the Portuguese operator. Telefonica's move is said to be due to fears it would not be allowed to vote on its own offer to acquire PT's stake in Vivo. On 30 June, PT shareholders will discuss and vote on Telefonica's EUR 6.5 billion offer for Brazilian joint venture Vivo. However, PT chairman Henrique Granadeiro recently said in an interview on Diario Economico's TV station that Telefonica would be in a conflict of interest if it were allowed to vote on its own offer to buy PT's indirect stake in Vivo at the extraordinary general meeting this month. According to Granadeiro, the decision on whether to allow Telefonica to vote at the PT shareholders' meeting is not up to him, but to the president of the meeting.
