Aconsortium comprising Italian financial institutions and Spain-based telecom service provider Telefónica has acquired a 23.6 per cent stake in Telecom Italia.

Aconsortium comprising Italian financial institutions and Spain-based telecom service provider Telefónica has acquired a 23.6 per cent stake in Telecom Italia. The consortium has purchased Olimpia, Telecom Italia’s holding company, from Italian tyre company Pirelli, for 3.1 billion euro in an all-cash deal. The group has formed a new holding company called Telco. Telefónica will pay 2.31 billion euro for 42.3 per cent stake in Telco, giving it 10 per cent indirect stake in Telecom Italia. The deal is currently awaiting approval and is expected to be finalised soon.