MILAN | Thu Dec 20, 2012 3:31am EST
MILAN Dec 20 (Reuters) - Italy's state-backed financing body Cassa Depositi e Prestiti (CDP) would invest in a new company set up to manage Telecom Italia's fixed-line network, its head was quoted as saying on Thursday.
Italy's biggest telecom group is considering separating its copper network into a new entity and then selling a stake to CDP. The move would help the Italian incumbent raise funds to cut its debt.
Cassa Depositi e Prestiti could bring in the new company financial resources to invest in the broadband "with a long-term horizon", Franco Bassanini said, according to Il Sole 24 Ore newspaper.
One of the hurdles to the project that has been under discussion for months is the governance of the new company which would acquire Telecom Italia's network.
In the interview Bassanini hinted at a possible solution that would let Telecom remain in control of the network.
"It is not important what stake Telecom will have in the new company, it could even have an overwhelming majority," Bassanini said.
"As the fixed-line network is a key asset linked to (Telecom's) debt, we need to find a balance between the vital interest of Telecom and the need to invest in the network."
CDP chairman said the new company would also gain control of Metroweb and other optic fibre infrastructures that are in the hands of Italian local authorities. (Reporting by Francesca Landini; Editing by Mike Nesbit)
No comments:
Post a Comment