SAO PAULO, Sept 18 (Reuters) - Brazil's largest payment processor, Cielo SA, will start selling mobile phones that also function as card reader machines in partnerships with carriers Claro and TIM Participacoes SA, executive vice-president Danilo Caffaro said on Tuesday .
Cielo will sell the mobile, called Lio+, in 12 installments of 89.90 reais ($21.75), targeting small entrepreneurs. This moves underscores Cielo's attempt to reach clients that rival PagSeguro targets.
Claro is the local brand of Mexico's America Movil SAB de CV and TIM Participacoes is the Brazilian unit of Telecom Italia SpA.
($1 = 4.13 reais)
(Reporting by Carolina Mandl)