An Argentinean appeals court has suspended the timetable by which Telecom Italia must sell off its 50% stake in Sofra, the holding company which controls Telecom Argentina.
Argentinean authorities ordered Telecom Italia to sell off its indirect stake in…
An Argentinean appeals court has suspended the timetable by which Telecom Italia must sell off its 50% stake in Sofra, the holding company which controls Telecom Argentina.
Argentinean authorities ordered Telecom Italia to sell off its indirect stake in Telecom Argentina after it was decided that Telecom Italia majority owner Telco, controlled by Telefonica, had too much power on the Argentinean market, as Telefonica also operates under its own brand in the country. Telecom Argentina and Telefonica de Argentina are the two main operators in Argentina.
In early January, Telecom Italia was informed it had until February 25 to sell of its stake in Telecom Argentina, a decision which Telecom Italia shareholders instantly appealed. An appeals court has now suspended the timetable by which it must sell the stake, a decision which Telecom Italia CEO Franco Bernabe told press shows that the justice system in the country works. The CEO added that he refused to be forced to sell the stake outright and that the telco will now review the benefit of selling or not selling, based on the offers.
Telecom Italia is advised by Credit Suisse.
