Minister pleased by TIM news

27 Sep 2006

Italy’s deputy communications minister says he has welcomed Telecom Italia’s confirmation that it is not putting its cellular division TIM up for sale. Dow Jones reports that Luigi Vimercati commented: ‘I’m pleased to see that there are no more talks of a possible sale of TIM, even though the spin-off plan approved by the board stays in place.’ Yesterday Telecom Italia chairman Guido Rossi met with representatives of the Italian stock market watchdog Consob to outline details of its restructuring plans. He told them that the telco is to separate its wireline and wireless units, but that it has made no moves to appoint advisers for a possible sale of TIM. Vimercati said: ‘We’re following with the greatest attention what is happening in Telecom Italia, because it’s one of the leading Italian companies, whose responsibilities go far beyond the telecoms sector.’ While in the short term it appears as if TIM will remain under the Telecom Italia umbrella, its long-term future remains in some doubt, with a group of private equity investors having expressed interest in buying up the company.