Telesp gets green light to purchase TVA stake, subject to conditions

20 Jul 2007

Brazilian fixed line operator Telesp has been given approval by the regulator Anatel to purchase a stake in local pay-TV company TVA, although the watchdog has added some conditions to the deal going ahead. Jose Leite Pereira Filho, an Anatel councillor, says Telesp, controlled by Spain’s Telefonica, must remove a clause in the agreement giving it the power of veto in all decisions made by the pay-TV firm, which is currently majority owned by media firm Grupo Abril.

Telesp has 30 days to comply with the request if it is to move ahead with its plan to buy 19.9% of TVA. Upon completion Grupo Abril will continue to manage the firm which has 300,000 subscribers across the country. Anatel has also agreed the sale of Abril’s microwave TV assets in Sao Paulo, Rio de Janeiro, Porto Alegre and Curitiba.