Brazil OKs combining Slim's companies, but Claro must go public

BRASILIA, July 31 Thu Jul 31, 2014 5:02pm EDT

BRASILIA, July 31 (Reuters) - Brazil's telecommunications regulator, Anatel, on Thursday approved combining three companies owned by Carlos Slim's América Móvil, on the condition that its cellphone division Claro register as a publicly held company with the country's securities watchdog, CVM.

Claro, the third-largest cellphone company in Brazil, will absorb cable TV operator Net Servicos de Comunicacao and long-distance landlines telephone company Embratel .

Claro, which is not a listed company, will have to open up to other investors under Brazilian regulations for the telecom sector that stipulate that concession holders or their controlling companies must have an open capital structure.

Claro will control Embratel, which operates under a government concession, Anatel official Igor Villas Boas said.

Claro will not necessarily have to list shares on the stock market, but rather just open up to other investors, Villas Boas said. (Reporting by Leonardo Goy; Editing by Dan Grebler)

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