Key Developments: Telecom Italia SpA (TI)
8.36USD
17 May 2013
$0.06 (+0.72%)
$8.30
$8.37
$8.40
$8.31
66,348
355,949
$11.03
$6.82
Latest Key Developments (Source: Significant Developments)
Telecom Italia SpA Updates on Partial Spin-Off of Telecom Italia Sparkle; Confirms FY 2013 Revenues and EBITDA Guidance
Telecom Italia SpA announced that the Board of Directors has approved the partial spin-off of Telecom Italia Sparkle, via transfer to the parent Telecom Italia of the Network Operations business unit to ensure: for the Sparkle network the delivery, operation and management of customer services and technical support as well as the operation of departmental networks and Network & Service Management systems; the protection of relations with the judicial authorities and the realization of relative international services. The spin-off is expected to conclude by the third quarter of 2013. Telecom Italia SpA also announced that it has confirmed the Company's revenues and EBITDA guidance for fiscal year 2013. The Company expects to report for fiscal year 2013 revenues essentially unchanged from fiscal year 2012 and EBITDA with a low-single digit percentage reduction. The Company reported for fiscal year 2012 revenues of EUR 29,503.00 million and EBITDA of EUR 11,645.00 million. According to I/B/E/S Estimates, analysts on average are expecting the Company to report for fiscal year 2013 EBITDA of EUR 11,245.89 million. Full Article
Telecom Italia SpA Approves and Updates on FY 2012 Dividend Distribution
Telecom Italia SpA announced that the Shareholders' Meeting held on 17 April, 2013 approved, amongst other things, the Financial Statements of the Company as at December 31, 2012 and resolved to allocate a part of the net income to the Shareholders as dividend for fiscal year 2012 through EUR 0.02 for each ordinary share and EUR 0.031 for each savings share, withdrawn from the profit for the year 2010 carried forward, gross of the withholdings prescribed by law. From April 25, 2013 (record date April 24, 2013 and ex-dividend date April 22, 2013) the dividend, represented by coupon number 10 for both classes of shares, will be paid through authorized intermediaries. Full Article
Telecom Italia SpA Faces Network Sale To Overcome Hutchison Whampoa Ltd Hurdle-Reuters
Reuters reported that if Telecom Italia SpA wants to agree a tie-up with Hutchison Whampoa Ltd, it may first have to sell its strategic fixed-line network to the state. Although the $4 billion plus tie-up has obvious attractions, as it would create large cost-saving opportunities and ease competition pressures at a time when recession is biting into margins, it faces formidable obstacles. Full Article
Telecom Italia SpA Directors To Consider Hutchison Whampoa Ltd Tie-up-Reuters
Reuters reported that Telecom Italia SpA has appointed a panel of directors to consider a proposed tie-up with Hutchison Whampoa Ltd which would make the Hong Kong group Telecom Italia's top shareholder in return for merging their local mobile businesses. After a six-hour board meeting Telecom Italia issued a statement on Thursday saying it has asked its chairman Franco Bernabe and four other board members to examine Hutchison's proposal in a short period of time and see whether it is in its interest to pursue negotiations. Full Article
Telecom Italia SpA Board To Weigh Hutchison Whampoa Ltd Option-Reuters
Reuters reported that the Board of Telecom Italia SpA will meet on Thursday to discuss a potential tie-up with Hutchison Whampoa Ltd, which sources familiar with the talks say is targeting nearly 30% in the Italian group. Chairman Franco Bernabe, under pressure from shareholders to improve margins at debt-laden Telecom Italia, is likely to win permission from the board to deepen talks, which both Telecom Italia and Hutchison said this week are at a preliminary stage. Italian newspaper Il Messaggero on Thursday reported that Bernabe and representatives from Hutchison have already signed a non-binding, confidentiality agreement to continue discussions. Full Article
Telecom Italia SpA Boss Likely To Win Mandate For Talks With Hutchison Whampoa Ltd-Reuters
Reuters reported that Telecom Italia SpA Chairman Franco Bernabe is likely to win a green light from the board to deepen talks with Hutchison Whampoa Ltd said to be targeting 29.9% of the Italian group. The executive will illustrate to a Telecom Italia board meeting on Thursday a proposal by Hong Kong-based Hutchison Whampoa to buy out three Italian investors in Telecom Italia's parent company, called Telco, and swap its mobile business 3 Italia for shares in Telecom Italia. Full Article
Hutchison Whampoa Ltd Targeting 29.9% of Telecom Italia SpA-Reuters
Reuters reported that Hutchison Whampoa Ltd could be targeting a stake of 29.9% in Telecom Italia SpA as part of a deal that would give the Italian company Hutchison's local mobile business, 3 Italia, newspaper Il Messagero reported. The Hong Kong-based group would be willing to buy some Telecom Italia shares at EUR1.2 each in cash in addition to selling 3 Italia for shares in Telecom Italia. This price is twice the current market price of Telecom Italia shares but equivalent to the value that controlling shareholders have booked in their accounts. Full Article
Telecom Italia SpA Signs Agreement With Trade Unions to Increase Productivity
Telecom Italia SpA announced that it has signed an agreement on March 27, 2013, with the Trade Unions aimed at increasing internal productivity through a more effective organization of labor and internalization of activities outsourced externally. Redundancies will be managed mainly through the adoption of solidarity contracts. The understanding allows respecting the Company’s 3-year Plan targets that foresee continuation of the process of cost reductions, including labor costs. The agreement signed allows managing the redundancies identified for the period 2013/2014 through social security cushions such as solidarity contracts avoiding layoffs. Specifically, 2,500 of the 3,000 jobs at risk at Telecom Italia SpA will be saved through solidarity contracts covering around 32,000 employees. 500 workers will leave the Company either because they already have legal pension entitlements or voluntarily because will reach pension age during the flexibility period under Law 223/91. A further 350 surplus jobs identified at Telecom Italia Information Technology for the period 2013/2014 will be protected using the same support mechanisms. The measures planned include the Caring Services Division, Open Access, Directory Assistance and Bonuses. Full Article
Telecom Italia SpA Launches EUR 750 Million Hybrid Bond
Telecom Italia SpA announced that it has launched a EUR 750 million subordinated bond (hybrid bond) offered to institutional investors. The bond has a tenor of 60 years with final maturity in 2073 with a first call date for the issuer in 2018. The quality of the order book allowed Telecom Italia to price the issue at a lower yield than the initial guidance. The details of the hybrid bond include settlement date: March 20, 2013; maturity: March 20, 2073; coupon to first call: 7.75% fixed, annual; issue price: 99.499%; call schedule: at par on March 20, 2018 and every 5 years thereafter; coupon step ups: 25 bps in 2023 plus an additional 75bps in 2038. The effective yield to the first call date is 7.875%. The notes will be listed on the Luxembourg Stock Exchange. Full Article
Telecom Italia SpA to Propose FY 2012 Dividend Distribution; Issues FY 2013 Revenues and EBITDA Guidance In-Line With Analysts' Estimates
Telecom Italia SpA announced that the Board will submit a proposal to Shareholders to replenish the loss for the year from retained earnings, as well as to distribute for fiscal year 2012 a dividend of EUR 0.02 per ordinary share and EUR 0.031 per savings share, drawn from fiscal year 2010 earnings. The dividend shall be paid out from April 25, 2013, ex-coupon on April 22, 2013. Telecom Italia SpA also announced that it has issued the Company's revenues and EBITDA guidance for fiscal year 2013. The Company expects to report for fiscal year 2013 revenues stable year on year and EBITDA with a low-single digit percentage reduction. The Company reported for fiscal year 2012 revenues of EUR 29,503.00 million and EBITDA of EUR 11,645.00 million. According to I/B/E/S Estimates, analysts are expecting the Company to report for fiscal year 2013 revenues of EUR 28,826.11 million and EBITDA of EUR 11,440.93 million. Full Article
UPDATE 1-Telecom Italia fined for market abuse of fixed-line network
MILAN/ROME, May 10 - Italy's Antitrust Authority on Friday fined Telecom Italia 103.8 million euros ($135.9 million) for abusing its dominant market position as owner and manager of the country's fixed-line telephone network.
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