Reuters: Anatel to force TIM divestment if Telefonica takes full control of Telco

|By:, SA News Editor

Brazilian telco regulator Anatel would demand Telecom Italia (TI +1.6%) sell its stake in TIM Participacoes (TSU +9.9%) if Spain's Telefonica (TEF +0.1%) acquires 100% of Telco, the majority holdco of Telecom Italia, Reuters reports citing a source at Anatel.

The response comes after Telefonica announced it will up its stake in Telco to 66% from 46% with the eventual intent of taking complete ownership of Telco's 22.4% stake in Telecom Italia.