MILAN, July 18 Telecom Italia has
ruled out for now any plan to sell its profitable Brazilian
assets to avoid antitrust issues in the likely event that
Spain's Telefonica becomes its main shareholder after
ownership changes later this year, people familiar with the
matter said on Thursday.
Holding company Telco, which controls 22.4 percent of
Telecom Italia, is likely to be dissolved in September, leaving
Telefonica with around 10 percent of the company.
"That option is out of the question because it would make no
sense for Telecom to cede its only asset with a history of
growth," said one source.
"It's one scenario. Anything could happen but I don't think
it's likely," said a second source.
Il Sole-24 Ore reported that changes at Telco could result
in a breakup of Telecom's TIM Brasil have an impact
in Brazil. At 1023 GMT, Telecom's shares were down 1.3 percent.
Telecom had no comment.
(Reporting By Paola Arosio, writing by Isla Binnie, editing by