TIM completes Intelig purchase

20 Apr 2009

Brazilian telco TIM Participacoes has ended the long-running saga of its takeover of rival mobile operator Intelig by announcing it has completed a deal to acquire the company. Dow Jones reports the deal, signed late last Thursday, will enable it to cut its network leasing costs and provide a quick fix in terms of owning a fibre-optic network. TIM is paying an estimated BRL700 million (USD320 million) for the operator, which has a ready-made 14,500km backbone fibre network covering 18 regional capitals for 3G data transfer services. Speaking in February TIM chief executive Luca Luciani said: ‘Intelig would allow us to save time and money in setting up a optic backbone…the market will be all about transfer of data in the future’. The transaction now needs the approval of the regulator and local antitrust bodies.

Brazil, TIM Participaçoes