Telecom Italia executive chairman and CEO Franco Bernabe said the group is not considering spinning off its fixed-line network, although it is open to exploring options which may benefit the company and its shareholders.
The comment comes only…
Telecom Italia executive chairman and CEO Franco Bernabe said the group is not considering spinning off its fixed-line network, although it is open to exploring options which may benefit the company and its shareholders.
The comment comes only weeks after the company had described a fixed-line network spin-off as a potential strategic option.
Responding to questions from analysts during a conference call today, Bernabe said “we have no intention of losing control over our network”, adding that it remains a key asset.
However, he went on to say that the separation of its Open Access unit, responsible for managing and developing its access network, has afforded the company “a lot” of regulatory benefits.
“We are ready to explore any option that evolves Open Access if that creates real value for the company and our shareholders,” he said.
In early April, Telecom Italia said a fixed-line network spin-off was one of several “strategic options” it was considering for reducing debt, minimising the likelihood of having to make further dividend cuts and boosting its fibre-optic work.
During today’s conference call, Bernabe was keen to stress that there is no outside pressure on the company to spin off its fixed-line network.
He said he is confident that fixed-line usage will increase once certain issues – a key one being pricing – are sorted out.
