As the CEO of Telecom Italia (TI), Franco Bernabe, struggles to convince financial analysts that his plans for the company are not too cautious, some shareholders are calling for the company to boost its revenues from Internet and mobile services--and then consider a merger with a global telecoms player.
Chief advocate for change is the Fossati family, which has built a 4.45 per cent stake in TI this year, and now wants the executive of TI to consider a merger with Telefonica--the Spanish telecoms giant which already owns an indirect 10 per cent holding in TI.
Marco Fossati has also commented that there are three or four international groups that could be interested in taking over TI, which he said is worth at least €40 billion, nearly twice its current market capitalisation.
TI should pursue partnerships and add content for its cell phone business, Internet and television customers, Fossati said. "The company should share advertising revenue with content providers in exchange for access to its clients."
For more on this story:
- read Variety
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