Deals
Tim Sale Decision Seen Roiling Mobile Market: Corporate Brazil
This article is for subscribers only.
The financial troubles of Telecom Italia SpA are prompting Barclays Plc and BTIG LLC to predict the company will sell Tim Participacoes SA in Brazil, altering the balance of power in the fifth-largest wireless market.
A breakup of the nation’s second-biggest carrier, spreading its assets and subscribers among its rivals, is the most viable option because Brazilian regulator Anatel is unlikely to approve an outright merger of Tim with a single large competitor, said a team of Barclays analysts led by Jonathan Dann. An outsider such as as Vodafone Group Plc could also buy a stake or all of Tim, said Walt Piecyk, an analyst at BTIG in New York.