Boston, MA 08/19/2014 (wallstreetpr) – The Italy-based telecommunication company, Telecom Italia SpA (ADR) (NYSE:TI) proclaimed on August 19, 2014 that it will organize a board meeting to discuss the offers related to the acquisition of Vivendi SA’s Brazilian Broadband division GVT SA. According to a person familiar with the issue the acquisition, the discussion will take place in the coming week.
A meeting to take place next week related to the acquisition of GVT:
The source also acknowledged that nothing official work will be conducted this week related to the acquisition. Most probably the board will hold a meeting on Wednesday, August 27, 2014. However, the company did not comment on the matter immediately after the situation.
Interest of Telecom Italia:
A week earlier, Telecom Italia SpA (ADR) (NYSE:TI) showed its interest on the acquisition of GVT SA. The purchase was so calculated that the company even challenged the $9 billion (6.7 billion euros) bid of Spain’s Telefonica SA (TEF.MC).
Telefonica, the Telecom Italia’s single largest shareholder and competitor in the Brazilian market, in order to bag the deal in its favor will offer Vivendi a television contest. In which the overall offered value for GVT will come close to Telecom Italia’s projected bid.
Vivendi SA will get 20% of the stake of the company:
Person close to the company reported that Italian Group is on the verge to tie-up with its Brazilian unit TIM Participações SA (TIMP3.SA) and GVT. The deal can also involve Vivendi SA to own a stake in the Telecom Italia also.
Telecom Italia places bid of seven billion euros:
Telecom Italia SpA (ADR) (NYSE:TI) has made an offer of seven billion euros, significantly more than the bidding place by the Spanish company Telefonica SA. The company is hoping to stay in a much better position in the acquisition process. Needless to say that Vivendi SA will get almost 20% of the stake of Telecom Italia after the acquisition.
