TIM's Board of Directors approved the sale of Netco by accepting KKR's offer. The US fund has put 20 billion on the plate which could become 22 with the merger with Open Fiber. The offer, we read in a note, allows the group a debt reduction of approximately 14 billion euros. The completion of the transaction is expected by the summer of 2024.
READ ALSO: Tim and the sale of the network to Kkr: the first agreement for NetCo signed
Tim, the note continues, rejects KKR's non-binding offer on Sparkle “deemed unsatisfactory”. CEO Pietro Labriola has the mandate to negotiate and verify the possibility of receiving a binding offer at a higher value once the due diligence has been completed, the deadline for which has been extended until December 5th. Eleven members of the Tim Board of Directors out of 14 present at the meeting spoke in favor of the sale of Netco to the KKR fund. In fact, the board also met on Sunday afternoon and ended around 6pm, after the sessions on Saturday and Friday.
Tim, network transfer. Vivendi: “Illegitimate decision”
“The rights of Tim's shareholders have been violated” and “the Board's decision is illegitimate”, Thus, in a note, Vivendi comments on the sale of the network to Kkr. Vivendi “will use every legal tool at its disposal to contest this decision and protect its rights and those of all shareholders,” it said.
Tim, network transfer. Merlyn Fund: “TIM Board decision disrespectful and wrong”
“The decision of TIM's board of directors to approve KKR's offer without submitting the decision to a vote of the shareholders' meeting is disrespectful and wrong.” Thus the Merlyn Fund in a note in which it “reiterates” together with its partners in this project, “the desire to reserve the right to proceed with any possible action that leads the Board of Directors to convene a shareholders' meeting as soon as possible where it can decide whether the plan today approved independently by the Board of Directors is what the shareholders want for their company or whether they prefer a different and, in our opinion, better future”.
Tim, network transfer. Palazzo Chigi: “It guarantees the national interest”
“The green light with requirements from the Italian government for the sale of the TIM network to the US infrastructure fund KKR represents a further and fundamental step in the acquisition of NetCo (a company that substantially holds all of TIM's fixed network infrastructure), a protection of the national interest and to guarantee state control over the strategic assets of the primary telecommunications network”. That's what you read in one note released by Palazzo Chigi.
“A role for the government is envisaged in defining strategic choices, all essential safeguards are ensured and State supervision is guaranteed of all aspects relating to the security, defense and strategic nature of the network and related assets“. “The resolution of the Council of Ministers incorporates into the provisions the commitments that the parties have undertaken starting from the creation of the security organisation, from the appointment of the person in charge of Italian citizenship, from the exclusive competence over all issues affecting strategic assets, from maintenance of research and maintenance activities in Italy, and monitoring – it is underlined -. A certain framework of strategic supervision entrusted to the State is therefore outlined. An important step forward in the overall definition of the operation, which proceeds according to the announced timelines.”
#TIM #sale #network #KKR #Golden #Power #ahead #NetCo #operation
