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Telefonica ups stakes in Vivendi talks [ANSA](ANSA Via Acquire Media NewsEdge) (ANSA) - Milan, August 28 - Spanish telecommunications company Telefonica upped the stakes in a bidding war with Telecom Italia and its Brazilian subsidiary TIM Participações for Brazilian fixed network and broadband service provider GVT on Thursday by offering 7.45 billion euros for the company wholly owned by France's Vivendi. Earlier in the day, the boards of directors of Telecom Italia and TIM Brazil announced that they had made a seven-billion euros offer for GVT involving the integration of the respective Brazilian operations and the entry of the French group into the capital of Telecom Italia. Upon completion of the proposed transaction, Vivendi would hold 15% of the TIM post-merger capital and approximately 20% of the ordinary share capital of Telecom Italia, a statement said. The Findim Group of Marco Fossati, which holds a 5% stake in the Italian telecommunications giant, gave its backing to the offer as Telecom shares rose 1.16% to 0.87 euros on the Milan stock exchange in early trading Thursday on the news. However, in an apparent ultimatum to Vivendi on Thursday competitor Telefonica submitted a new offer for GVT, raising its valuation from the original 6.7 billion euros offered in early August to 7.45 billion euros and including the option for the French group of buying up to 1.1 billion ordinary shares in Telecom Italia (currently the equivalent of a 8.3% stake in the company's voting share capital) in the event of a deal. The new offer expires on Friday. (c) 2014 ANSA Provided by SyndiGate Media Inc. (Syndigate.info). |