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Telecom Italia delays board meeting on Argentina doubts

2014-09-25 09:55:00| Telecompaper Headlines

(Telecompaper) Telecom Italia has delayed its board meeting scheduled for 25 September until the following day as doubts persist as to whether the proposed sale of Telecom Argentina to US-backed investment fund Fintech will finally complete. A number of factors have complicated the deal, above all the ongoing financial crisis in Argentina and the delays in securing regulatory approval from local authorities. Argentina's competition watchdog told Reuters that it has not yet decided whether to approve the transaction, simply confirming that "the process is moving normally, but there is no news so far." Telecom Italia has already pushed back completion of the sale twice due to delays in receiving approval from Buenos Aires, and the Fintech group of Mexican businessman David Martinez has also sought to renegotiate the acquisition price of USD 960 million as a result of Argentina's technical default. Leading Telecom Italia shareholders such as Marco Fossati have criticised the terms of the deal, which was agreed under a previous board controlled by the Telco investor group led by Telefonica, which also operates in Argentina.

Tags: board meeting italia argentina

Category:Telecommunications

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