The long-awaited auction of Oi Movel will take place in Rio de Janeiro on 14 December. The date was confirmed by Judge Fernando Viana of the 7th Business Court of the Rio de Janeiro Court of Justice, who approved the relevant draft notice last week. The opening of the competing proposals will take place at Judge Viana’s office on the stated date.
As previously reported by TeleGeography’s CommsUpdate, in September Oi granted its chief rivals Telefonica Brasil (Vivo), Claro Brasil and TIM Brasil ‘stalking horse’ status, when accepting a revised BRL16.5 billion (USD3.1 billion) joint offer tendered by the three companies. Stalking horse status allows the consortium to make a higher offer than any subsequent bids that emerge during the competitive bidding process.
Oi overlooked the trio’s initial joint offer, in favour of a bid from US-backed tower firm Highline. Both parties submitted offers in the region of BRL15 billion in the first instance, but Oi stressed that it would be pursue whichever bid ‘provides greater legal assurances and certainty for the closing of the sale’.