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TIT - Telecom Italia SpA News Story

€0.426 -0.0  -1.1%

Last Trade - 4:37pm

Sector
Telecoms
Size
Large Cap
Market Cap £5.58bn
Enterprise Value £29.78bn
Revenue £13.44bn
Position in Universe 55th / 725

BREAKINGVIEWS-Capital Calls: Telecom Italia’s singular problem

Thu 6th May, 2021 10:39am
(The author is a Reuters Breakingviews columnist.  The opinions
expressed are their own.)
    LONDON, May 6 (Reuters Breakingviews) - Concise insights on
global finance.
 
    -----------------------------------------------
READING THE TIM LEAVES. What a difference a letter makes. Shares
in Telecom Italia (TIM)  TLIT.MI  fell as much as 9%
on Thursday amid speculation about a change of heart by new
Prime Minister Mario Draghi over national broadband strategy
 urn:newsml:reuters.com:*:nL8N2MT2XW. The reason is admittedly tenuous. Newspaper La
Repubblica jumped on a reference in a 269-page document https://www.governo.it/sites/governo.it/files/PNRR.pdf
 outlining the government’s investment plans to broadband
“networks” (reti, in Italian), as opposed to “network” (rete).
The implication is that Draghi wants to nix a long-planned
merger between TIM’s network and smaller state-backed rival Open
Fiber. 
    True, Draghi, a former Goldman Sachs  GS.N  banker and
European Central Bank chief, probably lacks the interventionist
instincts of his predecessor, Giuseppe Conte. And it would have
been quick and easy to clear up any confusion over the wording.
The fact Rome is yet to do so suggests Draghi may indeed be
lukewarm about an idea that always looked good for TIM
shareholders  urn:newsml:reuters.com:*:nL8N2FY27X and less so for Italian broadband
users. (By Ed Cropley)
    
    On Twitter http://twitter.com/breakingviews
    
    Earlier in Capital Calls:
    
    Euro zone bank laggards flatter to deceive  urn:newsml:reuters.com:*:nL8N2MT3MK
    Aussie bank’s good deeds punished  urn:newsml:reuters.com:*:nL4N2MT107
    Hong Kong bourse sweats small stuff  urn:newsml:reuters.com:*:nL4N2MT0P3
    Peloton breakaway fades on recall  urn:newsml:reuters.com:*:nL1N2MS2B9
    Honest IPO pop  urn:newsml:reuters.com:*:nL1N2MS2M7

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| Editing by Neil Unmack and Oliver Taslic)
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