Brazil’s Embratel mulling acquisition of Net stake, paper says

22 Aug 2011

Brazilian telecoms operator Embratel Participacoes, backed by Mexican entrepreneur Carlos Slim, is looking to purchase a controlling stake in the country’s largest cable services provider Net Servicos de Comunicacao (Net), according to local newspaper O Estado de S. Paulo which cites Net’s chief legal counsel Andre Borges, as its source. The paper claims that Embratel, which already owns 49% of Net’s voting shares, will move to acquire an additional 2% once President Dilma Rousseff signs into law a bill designed to allow telephone carriers and foreign companies to offer cable TV services in Brazil. The Senate approved the bill on 16 August and Embratel could make its move as soon as Rousseff signs the bill, Estado said.