Telefonica not in market for TI

Telefonica’s chairman says the firm has no plans to change its relationship with Telecom Italia, scotching rumors of a potential merger.
Cesar Allierta says the telcos enjoy an industrial alliance that allows them to exploit synergies and economies of scale.
Telefonica is the largest investor in the Telco consortium, which holds a controlling 24.5% stake in Telecom Italia.
A Telefonica source reportedly revealed Allierta’s views on Sunday, after the chairman spoke to Spanish newspaper El Pais on Friday. He was quizzed after Italian press speculated that a merger of the two firms had already been approved by the Government.