Brazil's TIM Acquires Intelig, Cutting Costs And Saving Time
2009年4月18日 - 3:43AM
Dow Jones News
After months of suiting, Brazilian mobile-phone company TIM
Participacoes SA (TSU) clinched the deal to purchase local
long-distance provider Intelig late Thursday in a deal that will
allow it to cut network leasing costs and offer a short cut in
creating its own fiber optic network.
In buying full control of Intelig for a price in the region of
700 million Brazilian reals ($320 million), according to market
estimates, TIM - a subsidiary of Telecom Italia S.p.A. (TI) - has
ready made backbone for its third generation data transfer
services.
"The purchase solves TIM's infrastructure problem and brings
them back on an equal footing with some of its rivals," said Julio
Puschel, telecom analyst at the Yankee Group in Sao Paulo.
TIM is primarily interested in Intelig's fiber optic network,
which covers 14,500 kilometers and links 18 capitals. It will use
this as a backbone to meet the expected explosion in demand for 3G
services over the next few years.
"Intelig would allow us to save time and money in setting up a
optic backbone...the market will be all about transfer of data in
the future," said TIM Chief Executive Luca Luciani said at a press
conference in February.
TIM recently relaunched its service, vowing to focus more on
value added services.
In 2008, TIM spent between BRL600 million and BRL700 million on
network leasing.
"We believe that this deal could reduce these costs by at least
10%," said Beatriz Battelli, telecom analyst at the Brascan
brokerage in Rio de Janeiro.
TIM didn't give details about whether it would inherit Intelig's
debt. That debt could be as much as BRL550 million, said UBS
Pactual in a report.
Investors did not get excited about the announcement, with TIM
stock down 0.3% at BRL3.25 on the Brazilian Stock Exchange, or
Bovespa, in early afternoon trade. The benchmark Ibovespa index was
0.15% lower.
Certainly, it appears that TIM may have paid a high price for
the asset but, strategically, the deal makes perfect sense,
Brascan's Battelli said.
Intelig has net revenues of approximately BRL700 million,
according to market estimates.
The deal must still be approved by local antitrust and
telecommunications regulators.
-By Alastair Stewart, Dow Jones Newswires; 5511-2847-4520;
alastair.stewart@dowjones.com