TIM Brasil issues denial concerning Nextel takeover rumour

26 Aug 2015

TIM Participacoes (TIM Brasil) has issued a statement distancing itself from a report by Valor Economico claiming that it was preparing an unsolicited bid for market minnow Nextel Brasil. The announcement, which was made to the company’s shareholders, read: ‘There is no ongoing preparation of such an offer, and the company considers that these are only market rumours about future scenarios. However, the company confirms that it is aware of any potential market opportunities, and is committed to provide, timely, appropriate information to shareholders and the market whenever there is any material act or fact’.

The main thrust of the article concerns a supposed approach for TD-LTE operator Sky Brasil Servicos (Sky Brazil) by Telefonica Brasil (Vivo), something which has not yet been formally denied by the Spanish-backed operator. Sky Brazil is 93%-owned by US-based DirecTV Group, which was itself taken over by AT&T Inc earlier this year. For its part, AT&T has been named as a potential buyer for Nextel Brasil, following the USD1.875 billion takeover of its sister company in Mexico.