Portugal Telecom to invest 3.64 billion euros in Brazil’s Oi

27 January 2011

Lisbon, Portugal, 27 Jan – the Portugal Telecom group (PT) is to invest 3.64 billion euros (8.32 billion reals) in Brazilian mobile telecom company Oi in an operation due to be concluded at the end of March, the group said in a statement issued Wednesday in Lisbon.

Under the terms of a statement sent to the Portuguese stock market regulator, CMVM, the PT group said that the deal include a merge of the call centres of the two operators, a process that is due to finish at the beginning of May.

The Portuguese operator will have 25.6 percent of management rights in the company, “as a result of proportional consolidation of the direct and indirect e indirect shareholding in TmarPart (Telemar Participações).”

Telefónica’s reason for buying 50 percent of operator Vivo from PT was also to merge its mobile and fixed line business in order to offer “triple play” services. Thus the Brazilian market may have two large operators in this segment Telefónica/Vivo and Oi/PT. (macauhub)