American Tower and Cell Site Solutions (CSS) are rumoured to still be in the race to acquire TIM Brasil’s mobile tower assets.
The tower portfolio of Telecom Italia (TI)’s Brazilian unit could be split between the two, a source told Reuters.
The…
American Tower and Cell Site Solutions (CSS) are rumoured to still be in the race to acquire TIM Brasil’s mobile tower assets.
The tower portfolio of Telecom Italia (TI)’s Brazilian unit could be split between the two, a source told Reuters.
The company aims to raise at least €900m (US$1.1bn) from the disposal, which is part of TI CEO Marco Patuano’s plan to reduce its €28.8bn debt and invest in network upgrades. But current bids reportedly stand at between €500 and €600m.
The Italian incumbent is expected to close a deal within the next few weeks, the newswire said quoting three people with direct knowledge of the situation.
In August, Patuano had already said the tower sale was close to completion.
However, bidders are reportedly concerned about potential consolidation in the Brazilian mobile market, which could leave the industry with only three main players.
Since Telefonica agreed to buy Brazilian broadband operator GVT in September, rumours of a consolidation deal have been gaining momentum as the rivals of Telefonica’s Vivo may seek to strengthen their position.
Industry experts see a merger between TIM and national champion Oi as the most likely outcome.
TIM has a portfolio of around 7,000 towers across the country and, last November, its parent reportedly mandated Morgan Stanley to sound out interest in the sites.
Telecom Italia declined to comment, while American Tower and CSS did not respond to a request for comment.
