TI sells Brasil Telecom stake for USD515m, paper says

19 Jul 2007

A group of Brazilian pension funds said yesterday they have reached agreement to acquire Telecom Italia’s (TI’s) stake in Brazil’s third largest fixed line operator Brasil Telecom for USD515 million, reports Reuters. If confirmed, the deal ends years of legal disputes for control of the carrier. It is understood that three of Brazil’s largest pension funds – Previ, Petros and Funcef – have agreed to buy TI’s 38% holding in Solpart, which controls Brasil Telecom Participacoes. The pension funds control Brasil Telecom together with a unit of Citigroup Inc. As part of the deal, all interested parties have decided to drop all lawsuits currently held in international arbitration courts.

Brazil, Brasil Telecom (BrT), Telecom Italia (TIM)