Argentina’s antitrust watchdog CNDC has approved the break-up of the Telco investor group’s 22 per cent ownership of Telecom Italia, saying it does not infringe competition law, according to a document seen by Reuters.
This means France’s Vivendi has a clear path to becoming the Italian operator’s biggest shareholder. Vivendi has a 8 per cent stake in Telecom Italia following an agreement to sell off its Brazilian unit GVT to Telefonica.
The Telco group, set up in 2007 as a way for Telecom Italia to fend off a takeover bid from AT&T and America Movil, decided to break up last year. It includes four investors: Spain’s Telefonica and Italian financial firms Generali, Intesa and Mediobanca, who can now all sell their stakes.
Telecom Italia and Telefonica are competitors in Argentina as well as Brazil, where a similar approval was given by the country’s watchdog.