News in brief: Telecom Italia; Ericsson; TomTom; Google Italy, BT
Italian Wimax operator Aria has joined with Telecom Italia to deploy a Wimax network that will cover the central and southern regions of Italy and the island of Sardinia. Aria will use Telecom Italia's 3.5 GHz spectrum and transport network for backhaul. In return, Telecom Italia will have access to Aria's nationwide wholesale services.
Shares in satellite navigation firm TomTom fell by 5.1% on Monday following the announcement that it would issue new stock to raise cash. The company unveiled plans to raise €430 million. TomTom has been struggling with the debt it took on when it bought digital mapmaker Tele Atlas for €2.9 billion.
Ericsson has refinanced €600 million ($827.2 million) worth of its debt via a four year bond issue, just days after signing a $625 million loan for more debt refinancing.
The former country manager of Google Italy has resigned and has announced plans to launch a VC incubator. Massimilano Magrini revealed to Italian based blog Startups.eu, “I will develop in Italy what venture capitalists are already doing in the USA. The timing and the place is right. I’m getting great feedback from the financial community. I will create a real new Silicon Valley in Milan”.
The BT Group’s free cash flow could reach 1.5 million pounds in fiscal 2013, depending on its VDSL performance according to a report from Morgan Stanley. The broker upgraded BT Groupto overweight from equal-weight with a 150 pence price target. It is the first time in four years the broker has had an overweight call on the U.K. telecom group.