MILAN, April 12 Shares in Telecom Italia
rose more than 4 percent in early trading on Friday
after the telecoms company said it would look at a possible
tie-up with Hutchison Whampoa as well as a spin-off of
its fixed-line domestic network.
By 0707 GMT, the stock was up 3.1 percent at 0.6315 euros
and the Milan blue chip index was down 0.4 percent.
Telecom appointed on Thursday a panel of board directors to
consider the proposed tie-up with Hutchison which would make the
Hong Kong group Telecom Italia's top shareholder in return for
merging their local mobile businesses.
Telecom said in a statement its management would also
consider the feasibility of spinning-off the network, although
it made no direct link between this and the Hutchison proposal.
(Reporting By Danilo Masoni, editing by Jennifer Clark)