BrT says TIM merger could still go ahead

10 May 2006

Charles Putz, the chief financial officer of Brazil’s third largest fixed line operator Brasil Telecom (BrT), has said that a merger agreement with mobile group TIM Brasil could still go ahead. In a conference call, Putz is reported to have told analysts that there would be some merit in a tie-up which ‘would quickly increase our mobile subscriber base and, perhaps, reduce competition, which is fierce,’ he said. BrT recently received a letter from TIM International and TIM Brasil announcing cancellation of a merger agreement signed with the former management of Brasil Telecom on 28 April 2005. The new BrT management was ‘glad to see’ that this agreement was cancelled. ‘It was not written in the best interests of the company,’ said Putz.

Brazil, Brasil Telecom (BrT), TIM Brasil