“Tim informs that its subsidiary in Brazil, TIM SA, together with Telefônica Brasil SA and Claro SA, have presented a binding offer for the mobile activities of the Oi Group”. Thus begins the press release with which the national telephone giant announces that Luigi Gubitosi has followed up on the mandate received a few days ago from Tim's board of directors, namely that of presenting a binding offer for the Brazilian mobile operator.
The offer, continues the note, remains subject to certain conditions. In particular, "it is subject to the condition that the bidders be recognized as "stalking horse" (or "first bidders"), with the attribution of the right to match any other offers that may be presented during the asset sale process furniture from the Oi Group”. In practice, the right to make raises.
The operation, if concluded successfully, “will bring benefits to shareholders and customers thanks to the further expected growth, the expected synergies and the improvement of the quality of the service. Furthermore, the initiative is expected to contribute to the development and competitiveness of the telecommunications sector in Brazil,” concludes Tim.
Tim is present on the Brazilian market with Tim Brasil holding a 24% share. A strong presence that risks causing problems with the Brazilian Antitrust. For this reason, Tim Brasil should limit itself to conquering a part of Oi, in particular customers in the wealthier areas of Rio de Janeiro and Sanpaolo. The other areas covered by Oi would go to the Spanish operator Telefónica, which therefore leads the operation in tandem with Tim.
The Italian group's first expression of interest in Oi dates back to 11 March 2020. In recent days, the Tim share, driven by the incoming offer on the Brazilian operator, has attracted purchases on the Stock Exchange also due to the expectation of a acceleration on the internal side of the negotiations on the single network, pushed by the government.
To learn more: New life for Tim: Brazil, single network and risk starts again
