0
Broadband

TIM considering acquisition of CDP's stake in Open Fiber - report

Wednesday 12 June 2019 | 09:34 CET | News

Telecom Italia (TIM) is mulling the acquisition of the 50 percent stake in wholesale operator Open Fiber held by Italian state lender Cassa Depositi e Prestiti (CDP), according to unnamed sources cited by business daily Il Sole 24 Ore. The report echoes a similar one published last week by Il Messaggero, with the sources suggesting TIM would give CDP shares in return for its holding and would then look to merge Open Fiber with the Flash Fiber joint venture it set up with Fastweb in 2016.

A subsequent report in Il Sole 24 Ore indicated that TIM values Open Fiber at around EUR 2.5 billion, including debt, and will discuss a plan to create a single fixed broadband operator by merging its network assets with those of Open Fiber at a 01 August board meeting. However, the report cautions that utility giant Enel, which co-owns Open Fiber, values the wholesale unit at up to EUR 8 billion and could use a pre-emption right to block the sale.

CDP is nonetheless expected to play a central role in the proposed creation of a single national network after becoming TIM's second largest shareholder earlier this year. The plan being discussed would allow it to raise its stake in the operator from around 10 percent to 21 percent, compared to Vivendi’s stake of 23.9 percent, added the report.



Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Categories: Fixed
Companies: Fastweb / Open Fiber / Telecom Italia / TIM
Countries: Italy
::: add a comment
This article is part of dossier

Fibre


Add comment

We welcome comments that add value to the discussion. We attempt to block comments that use offensive language or appear to be spam, and our editors frequently review the comments to ensure they are appropriate. If you see a comment that you believe is inappropriate to the discussion, you can bring it to our attention by using the report abuse links. As the comments are written and submitted by visitors of the Telecompaper website, they in no way represent the opinion of Telecompaper.


Related

Telecom Italia to delist shares from NYSE to cut costs

Published 17 Jun 2019 08:55 CET | Italy
Telecom Italia (TIM) has announced plans to begin voluntarily delist its ordinary share American Depositary Shares and savings ...

Open Fiber 'evaluating ways of cooperating with TIM' - CEO

Published 10 Jun 2019 09:46 CET | Italy
The Open Fiber venture of Italian utility giant Enel and state lender CDP is "evaluating ways of integrating or collaborating ...

Italian regulator proposes wholesale broadband price cuts

Published 04 Jun 2019 11:14 CET | Italy
Italian communications regulator Agcom has announced the completion of a market analysis on local fixed network access and has ...

Italian state lender CDP mulling sale of Open Fiber stake to TIM - report

Published 27 May 2019 09:30 CET | Italy
Italian state lender Cassa Depositi e Prestiti (CDP) is considering the possibility of selling its 50 percent stake in wholesale ...

TIM exploring new consumer finance JV

Published 22 May 2019 10:02 CET | Italy
Telecom Italia (TIM) is exploring the possibility of setting up a joint venture with an Italian bank to offer consumer credit ...

TIM yet to officially contact Enel over Open Fiber tie-up

Published 17 May 2019 09:00 CET | Italy
Italian utility giant Enel has had "no formal contacts" with Telecom Italia (TIM) over a possible tie-up with its wholesale ...

Fastweb inks deal to access Open Fiber FTTH network in 80 cities and digital divide areas

Published 02 May 2019 16:33 CET | Italy
Fastweb has announced an agreement with wholesale-only operator Open Fiber to use the latter's FTTH networks in areas not covered ...

Telecom Italia asks Agcom to delay network spin-off review - report

Published 15 Apr 2019 09:16 CET | Italy
Telecom Italia has asked regulator Agcom to postpone its review of a plan to spin off its fixed-line network because the scheme ...

Italian state lender CDP ups Telecom Italia stake to 9.8%

Published 18 Mar 2019 10:06 CET | Italy
Italian state lender CDP has further increased its stake in Telecom Italia (TIM) to close to 10 percent around a month after ...

Vivendi may back TIM-Open Fiber network merger if conditions are 'fair'

Published 24 Feb 2019 16:58 CET | Italy
French media giant Vivendi, the main shareholder of Telecom Italia (TIM), said it's prepared to support a proposed merger of the ...

Fastweb CEO urges TIM-Open Fiber to coinvest to cut 'waste'

Published 12 Feb 2019 15:34 CET | Italy
Telecom Italia (TIM) and wholesale-only operator Open Fiber should follow the example of the Flash Fiber joint venture set up by ...

TIM, Fastweb set up JV to bring FTTH to 29 Italian cities

Published 27 Jul 2016 08:59 CET | Italy
Telecom Italia (TIM) has announced a joint venture with broadband provider Fastweb to invest a total of EUR 1.2 billion to ...