Telecom Italia (TIM) CEO Luigi Gubitosi has resigned as the telco considers the recent EUR10.8 billion (USD12 billion) takeover offer from US investment firm KKR. The executive said he decided to step aside to allow the company to make a speedy decision on the KKR bid. TIM’s largest shareholder Vivendi had been critical of Gubitosi recently, while it has also said that the offer from KKR is too low. The head of TIM Brasil, Pietro Labriola, has been named general manager, while TIM chairman Salvatore Rossi will take on Gubitosi’s other responsibilities.
Meanwhile, a report from Bloomberg has suggested that KKR is considering partnering with CVC Capital Partners to make a new joint offer for TIM. The two private equity firms have held ‘exploratory talks’ about the potential tie-up, the report said.