- Telecom Italia SpA TIAOF TIIAY received a multi-billion dollar offer from a US fund for a majority stake in its fixed network KKR & Co Inc KKRthe enterprise said in an opinion.
- TIM did not disclose the value of the non-binding offer, but a source familiar with the matter said it valued the infrastructure at around €20 billion.
- KKR, already an investor in Telecom Italia’s network, made a non-binding takeover bid for the group at the end of 2021, which Telecom Italia ultimately rejected.
- KKR’s bid for the former Italian phone monopoly’s network would involve assuming a substantial amount of debt, accounting for about half the value of the bid, Bloomberg reported quote people who are close to the cause.
- Telecom Italia’s board of directors is due to meet later on Thursday to begin reviewing the offer and appoint advisers, sources said. A final review could take a few weeks, the report added.
- Telecom Italia intends to sell the network to reduce the company’s gross debt of more than 30 billion euros.
- The airline has been in talks with the government’s finance arm for months. The government wants to retain control of the network and suggests it could impose the golden share rules to block or limit foreign control over strategic assets.
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