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Brazil: Tim’s fate has several paths, say sources

 |  December 9, 2013

As Brazilian authorities mull Spain-based Telefonica’s buyout of Telecom Italia partner Telco, the future of Brazil-based operator Tim could go several ways.

Earlier reports say Telefonica will be forced to either divest Tim, currently owned by Telecom Italia, or to find a partner for Telefonica’s current Brazil asset Vivo.

While that decision has yet to be made, a source told reporters Monday that antitrust regulator CADE will consider forcing a breakup of Tim for the gain of local operators.

Telefonica agreed in 2010 to not raise its current stake in Telecom Italia. However, authorities are concerned regarding Telefonica’s recent buyout of Telecom Italia partner Telco and its effects in Brazil.

Full Content: Reuters

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