Enel makes EUR806m bid for Metroweb

Italian state-backed utility group Enel has made a formal offer to acquire a majority stake in Milan-based telco Metroweb, which values the fibre network operator at EUR806 million (USD904 million). Enel’s valuation is below the EUR820 million offer for Metroweb made by Telecom Italia earlier this month. While Reuters reports that Metroweb’s controlling shareholder, state investment company Cassa Depositi e Prestiti (CDP), will ask Enel to raise its offer to match that of Telecom Italia, local news portal Cor.com suggests that the government will be making a decision based on the bidders’ future plans for Metroweb and not just on valuation. Milan-based Metroweb has deployed fibre infrastructure in a number of major cities in Italy, while Enel has unveiled plans to invest EUR2.5 billion to roll out an open access nationwide fibre network via its newly created Enel Open Fibre unit.