Brazil clears way for Oi to buy Brasil Telecom

BRASILIA, June 13 (Reuters) - Brazil's telecommunications regulator approved changes in the country's regulatory framework late Thursday that would allow one telecoms group to hold two separate concessions.

The new rules, which will be up for public comments before a final approval, could open the path for Brazil's Oi Participacoes (TNLP4.SA)(TNE.N) to complete a planned takeover of local rival Brasil Telecom BRTP4.SABRP.N.

In order to guarantee competition in Brazil's telecoms market, regulator Anatel also mandated that companies with concessions in more than one region should operate in the whole country.

That rule aims to prevent companies from picking and choosing only densely populated areas with more business opportunities instead of less attractive markets in the country side.

Oi Participacoes' purchase of Brasil Telecom for 5.86 billion reais ($3.58 billion), announced in April, would create a home-grown telecoms giant to compete with Spain's Telefonica (TEF.MC) and Mexico's America Movil (AMXL.MX)(AMX.N).

The total price tag for the takeover may rise to 12.3 billion reais, taking into consideration an offer for Brasil Telecom's minority shareholders.

Oi said in April it had enough cash to pay for the purchase, but may also tap the capital markets to raise part of the funds.

The combined company would control about 70 percent of Brazil's fixed-line market, 18.5 percent of the wireless market and some 40 percent of broadband Internet services. Together, Oi and Brasil Telecom Participacoes had 28.65 billion reais ($17.49 billion) in sales last year. ($1 = 1.638 real) (Reporting by Isabel Versiani, Translated by Inae Riveras; Editing by Jeffrey Benkoe)