Telecom Italia Group divests its participations in Bharti

09/18/2000 - 00:00 PM

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The Telecom Italia Group announces today the sale of its stakes in the Bharti Group to Bharti itself and its nominee.

The transaction involves the divestment of all Telecom Italia´s participations in the Bharti Group: a 20% stake in Bharti Tele-Ventures Ltd, Bharti´s Holding company, a 30.2% stake in Bharti Telenet Ltd., the fixed line operator in Madhya Pradesh and a 2% stake in Bharti Cellular Ltd, the GSM cellular operator in Delhi. Telecom Italia received US$121 million for the transaction. Telecom Italia´s cumulated investment in the Bharti Group, initiated in 1995, amounts to US $ 76 million (at the current exchange rate). The required Indian Government approvals for the transaction have been granted.

The withdrawal from India is based on Telecom Italia Group´s strategic decision to develop its presence in Europe, in the Mediterranean basin and in Latin America.