Telefónica – which owns 15% of TIM Brasil – and Oi are reportedly planning to break up the company, but in a statement, GVT said the split “would be total disservice to society and would do irreparable and unacceptable harm to the Brazilian market”.
“If necessary, GVT will work with the government and the Anatel regulator to highlight risks and avoid a split,” GVT added.
Telecom Italia – which owns 67% of TIM Brasil – and Telefónica were reported to be in disagreement over the future of TIM Brasil last week.
While Telefonica reportedly wants to break it up, Marco Patuano, CEO at Telecom Italia wants to maintain its stake in TIM Brasil with a view to growing it via an eventual merger with GVT, people close to the matter said.
TIM Brasil has a market value of $13 billion and Carlos Slim’s América Móvil is also thought to be in favour of splitting up the Brazilian player.
