MILAN May 3 Italian phone company Telecom
Italia could place up to 60 percent of its fixed-lined
access network on the market, according to a newspaper report on
The telecoms group is mulling spinning off the network and
offloading around 45-60 percent of the unit, Il Messaggero said,
citing a draft copy of the term sheet.
The deal would see 30-40 percent of the capital floated on
the Italian Stock Exchange and 15-20 percent sold to an
investment fund owned by state-controlled financing company
Cassa Depositi e Prestiti, the paper said.
The term sheet will be presented to the investment fund,
FSI, by Telecom Italian management shortly, the paper said.
In April, Telecom Italia appointed a panel of directors to
look at a possible tie-up with Hong Kong-based Hutchison Whampoa
and asked its management to look into the feasibility
of spinning off the network, which analysts value at between 12
billion and 15 billion euros ($16-20 billion).
The former telecoms monopoly has been in talks for months to
separate its domestic fixed-line network into a new company in
which CDP would buy a significant minority stake.
The company will hold a board meeting on May 8.
Telecom Italia was not immediately available for a comment.
(Reporting by Stephen Jewkes; Editing by Mark Potter)