|Bid||0.3761 x 0|
|Ask||0.3764 x 0|
|Day's Range||0.3670 - 0.3821|
|52 Week Range||0.2950 - 0.5820|
|Beta (5Y Monthly)||0.97|
|PE Ratio (TTM)||8.89|
|Forward Dividend & Yield||0.03 (7.44%)|
|Ex-Dividend Date||Jun 24, 2019|
|1y Target Est||0.62|
Brazilian wireless carrier TIM Participacoes SA said on Thursday it is partnering with online lender C6Bank to develop combined offers for their customers. "The agreement also provides for the possibility of exploring sales and payment channels synergies, expanding the distribution of offers and optimizing costs," the local subsidiary of Telecom Italia SpA said in a statement. In December, Chief Executive Pietro Labriola told journalists that TIM aimed at launching financial services to pre-paid customers in 2020.
Some viewers in Britain complained they were struggling to sign up for Disney+ as the video streaming service launched on Tuesday in Europe, where networks have come under huge strain due to the coronavirus pandemic. Disney+ launched in Britain, Ireland, Germany, Italy, Spain, Austria and Switzerland with reduced picture quality to ease data volumes flowing through networks. It tempted subscribers with 500 films, 350 serials and 25 original productions including Star Wars spin-off 'The Mandalorian' and Mouse House cartoon classics including the 1955 original of 'Lady and the Tramp'.
Brazilian wireless carrier TIM Participacoes SA said on Monday it has partnered with Rio de Janeiro's city hall for data analysis that will allow authorities to track displacement and concentration of people in areas affected by the coronavirus outbreak. In a statement, the local subsidiary of Telecom Italia SpA added it will use its antennas spread across Rio de Janeiro to provide real-time data on people's displacement throughout the city. This should allow authorities to identify mobility trends across neighborhoods and ultimately assess whether the population is respecting social isolation measures taken to contain the disease.
(Bloomberg) -- Planes are grounded, factories shuttered and cities on lockdown. Yet data -- the lifeblood of the modern economy -- keeps flowing. Widespread fears that communication networks would fail when they’re most needed are proving unfounded as internet traffic surges to records. Broadband providers are adapting to a new world of enforced teleworking, home learning, families staying in touch through FaceTime and toddler groups streaming nursery rhyme sing-alongs.Barring the odd localized glitch, this seems to be one industry that can cope with coronavirus-induced turmoil without massive state intervention. And a telecommunications sector that was the European stock market’s worst performer over a decade is looking like one of the safer bets for panicked investors. Telecoms Emerge as a Haven in European Stock RoutThe swings in demand have been big, and sudden. In Spain, online gaming activity grew almost threefold last week when kids were sent home from school, while WhatsApp usage surged sevenfold. Britain’s BT Group Plc said daytime traffic has increased by as much as 60% -- peaking around the time of Prime Minister Boris Johnson’s daily press conferences on the pandemic.Amazon.com Inc.’s night-time website traffic in Italy quadrupled from an average of 5 gigabits per second before the virus outbreak to about 20 Gbps this week as housebound citizens turned heavily to e-commerce, according to people familiar with the situation. Telecom Italia SpA said fixed-line data volume was up more than 90% and mobile data more than 30% since the country went into lockdown.“A serious outage of Italian networks due to last week’s surge in internet traffic is a very unlikely scenario for the country, even if it’s not impossible,” said the chairman of Italy’s communications watchdog, Angelo Cardani, in a phone interview.Wary that chaos in other industries could spill into the communications sector, European Union internal market commissioner Thierry Breton called on the streaming platforms on Wednesday to stop distributing high-definition video and ease pressure on networks. Netflix Inc. and Google’s YouTube have responded by promising to limit their streaming bit rates.The government bodies that oversee the communications industry say they’re willing to allow broadband providers to shove bandwidth-hogging video and gaming platforms into a data slow lane to prioritize more important traffic when networks are at risk of overload. The practice is banned during normal times under so-called net neutrality rules designed to ensure equal treatment for all internet users.The telecom companies would need to inform regulators if they did resort to data throttling, as the practise is called. There’s no sign of that yet. Here’s how the industry is taking the data surge in its stride:Managing PeaksThe extra online activity is occurring mostly in the daytime -- outside the evening window when volumes tend to be highest. BT says daytime traffic is still only about half of the standard evening peak level. When it handled a record 17.5 terabits of data on March 10, the peak was in the evening. At that time, an update to the online video game “Red Dead Redemption 2” and the release of “Call of Duty: Warzone” came as major Champions League soccer matches were underway.Streaming TestNetflix and YouTube’s offer to turn off high-definition video is unlikely to ruin the experience for people stuck indoors and in need of entertainment. Netflix can already tweak bit rates in real time to fit available bandwidth while ensuring a decent picture quality and minimizing interference with other internet traffic. The next big test comes when the Disney+ video platform launches across Europe on Tuesday.Virus Restrictions Seen Boosting Disney’s Europe Streaming DebutMobile GlitchesWireless connections and call quality can be patchy at the best of times and the system is under greater strain as many users desert big urban centers for the provinces, where network capacity tends to be lower. Swisscom AG’s mobile network suffered outages it blamed on an “overload” caused by a spike in call numbers. Three UK is handling 40% more voice calls than last week. Calls over the British O2 network have also jumped, and have never been so long, partly because people are waiting in queues to speak to banks and airlines, according to an O2 manager, who asked not to be named discussing internal figures. What’s helping is that people are traveling less and cellphones can connect to WiFi when they’re at home, which means less pressure on wireless networks. A major U.K. mobile outage on Tuesday was not related to pressures on the network from coronavirus, according to BT’s wireless carrier EE.Data CentersGoogle has doubled how much data it can put through Italy’s main internet exchange in Milan to cope with extra activity on its servers, according to people familiar with the matter. Microsoft Corp.’s internet traffic going through the Milan Internet Exchange grew 150% because of the coronavirus pandemic, the people added. Recent investment in data centers means there’s extra processing capacity to switch on that can be sent via new, faster data ports, said Michael Winterson, managing director at data center and colocation provider Equinix Services Ltd. in the U.K.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
MILAN/BERLIN, March 18 (Reuters) - Mobile carriers are sharing data with the health authorities in Italy, Germany and Austria, helping to fight coronavirus by monitoring whether people are complying with curbs on movement while at the same time respecting Europe's privacy laws. The data, which are anonymous and aggregated, make it possible to map concentrations and movements of customers in 'hot zones' where COVID-19 has taken hold.
Donato Velardi's hotline has been ringing almost non-stop since Rome imposed draconian measures to combat its coronavirus crisis, forcing millions of Italians to embrace smartwork. Italy's small businesses, which form the backbone of its economy, have been slow to switch to distance working.
(Bloomberg) -- Hundreds of high-risk companies in Europe need to repay or refinance nearly $100 billion in the coming months, a prospect that becomes more daunting by the day amid the relentless collapse in credit markets.From Germany’s Thyssenkrupp AG to Telecom Italia, around 600 European high-yield and non-rated bond borrowers have $92.5 billion bonds maturing by the end of 2021, a narrow window to get deals done. With investors running for the hills and the cost of raising funds soaring, that’s a big ask. As a result some companies are abandoning plans to raise debt on the bond market and exploring alternatives such as direct lending. One measure of high yield debt risk in Europe jumped to its highest level since 2012.Jaguar Land Rover, for example, is planning to use its cash reserves to pay its $500 million bond due this week. Commodity trading giant Trafigura might take that path as well with its two bonds amounting to 750 million euros ($850 million) due later this year, according to a spokesperson. Others, like Codere SA, are waiting for the storm to pass. The Spanish gaming company -- which has had to close its Italian bingo halls -- has two bonds due in November 2021 worth 800 million euros.Read more: Credit Cracks Widen With Boeing Loan Drawdown, Debt Deals Halted“Our plan is to refinance when a window in the market opens,” a company spokesperson wrote in an email. “We are working to be prepared but there is no doubt that the coronavirus and the uncertainty it has created in the market make it hard in the short term.” The firm’s liquidity position is good, the person added.Some companies took advantage of funding opportunities before the virus struck, like Italian infrastructure company Salini Impregilo SpA, which refinanced its 600 million euro bond due in June 2021 in January before any cases were confirmed in the country. The new notes due in 2027 have dropped 24 cents on the euro since issuance to 75 cents, according to data compiled by Bloomberg.Leveraged loans falling due in the coming 18 months are scarce, but printing inks firm Flint does need to tackle a looming maturity. Lenders agreed to extend its revolver to March 2021 to give it some breathing space, but the company has term loans worth 1.8 billion euros due in September next year, Bloomberg data show.“For firms that need extra liquidity, getting additional leeway from banks to roll over revolvers/draw on revolvers would be an option, as well as selling assets”, wrote Stephen Caprio, a UBS credit strategist, in an email. “But generally the expectation is that issuance markets will need to open up again, so firms can refinance and term out debt as needed.”\--With assistance from Ruth McGavin and Luca Casiraghi.To contact the reporter on this story: Irene García Pérez in London at email@example.comTo contact the editors responsible for this story: Vivianne Rodrigues at firstname.lastname@example.org, Bruce DouglasFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Telecom Italia (TIM) said on Wednesday it would not agree to being a minority shareholder in any single broadband network created by a tie up with smaller rival Open Fiber. TIM is currently in talks with U.S. infrastructure fund KKR to invest in its own secondary last-mile network. "Its time for Enel to make up its mind and decide," TIM Chief Executive Luigi Gubitosi said in a conference call on its new business plan, adding there was institutional support for a single network.
Telefonica Brasil SA and TIM Participações SA have expressed interest in negotiating a joint offer to buy the mobile unit of bankrupt Brazilian carrier Oi SA, the two companies said on Tuesday in securities filings. The companies informed Oi's financial advisor Bank of America Merrill Lynch of their interest in starting negotiations for a potential acquisition of all or part of Oi's mobile division.
Italy's biggest phone group Telecom Italia (TIM) said on Tuesday it was postponing its target to return to core profit growth this year after anticipating lower service revenues dogged by underperforming domestic business. In a statement Telecom Italia said total revenues last year fell 2.6% to 18 billion euros, in line with a company-provided consensus of 17.998 billion euros. TIM, whose investors count French media company Vivendi and investment firm Elliott, said organic earnings before interest, tax, depreciation and amortisation (EBITDA) after leases fell 2.2% to 7.2 billion euros in the 12 months ending December.
Vodafone and Telecom Italia (TIM) on Friday secured conditional EU antitrust approval to create Europe's biggest mobile towers company, part of a strategy to roll out lucrative 5G services. The European Commission said Vodafone and Tim will make available to rivals 4,000 towers in cities with more than 35,000 people as part of concessions to address competition concerns, confirming a Reuters report on Thursday. Under the deal announced in July last year, Vodafone will transfer its Italian mobile masts to INWIT, which is 60% owned by TIM.
The board of Telecom Italia (TIM) met on Thursday to discuss proposals by U.S. investment firm KKR for a broadband investment in the country as the government pushes for a unified ultra-fast network. Rome wants the former phone monopoly and smaller fibre-optic operator Open Fiber to create a single ultra-fast broadband player to avoid duplicating investments but a deal has so far proved elusive. As negotiations stall and Open Fiber continues to roll out its network, TIM has invited infrastructure funds to consider an investment in the potential future combined fibre-optic entity.
Telecom Italia (TIM) is set to pick private equity firm KKR to help it to create a national fibre-optic champion with Open Fiber, two sources familiar with the matter said on Thursday. One of the sources said TIM was close to selecting KKR because the U.S. investment firm had also expressed an interest in investing in the former phone monopoly's secondary network - the part that connects street cabinets to subscribers' homes - which it values at 7.0-7.5 billion euros ($7.6-$8.2 billion). KKR declined to comment.
(Bloomberg) -- Telecom Italia SpA is close to picking the private equity giant KKR & Co. to help it acquire wholesale fiber carrier Open Fiber SpA, according to people familiar with the matter.Telecom Italia is choosing the U.S. investment firm because it’s also open to purchasing a minority stake in a portion of the Italian company’s landline network, the socalled “secondary network” of copper and fiber lines running from street cabinets to premises, that’s valued by KKR at 7 billion euros ($7.6 billion) to 7.5 billion euros, said the people, who asked not to be named because the discussions are private.Telecom Italia shares rose as much as 3.2% at the market open in Milan, their biggest intraday gain since November. The larger goal is building a single national network, an approach favored by the Italian government led by Premier Giuseppe Conte.Since last year, Telecom Italia Chief Executive Officer Luigi Gubitosi has considered enlisting international funds to help finance a potential network deal with rival Open Fiber, people familiar with the matter said at that time. Gubitosi is also looking to boost demand for premium services, work along with rivals on network investments to cut costs, and spin off noncore assets.Open Fiber’s investors include Italy’s state lender Cassa Depositi e Prestiti and the country’s largest utility, Enel SpA. Francesco Starace, CEO of Enel, said last week in an interview with Börsen Zeitung that he isn’t going to sell the company’s stake in Open Fiber. In contrast, Cassa Depositi would be open to selling its Open Fiber stake, another person said.Spokespeople for Telecom Italia and KKR declined to comment. Representatives for Open Fiber and Cassa Depositi weren’t available after business hours.Open Fiber reported full-year 2018 revenue of 114 million euros. Its active customers numbered 500,000 at the end of that year, and the company reached more than 5 million households with its fiber network.(Updates with share price in third paragraph)\--With assistance from Liana Baker.To contact the reporter on this story: Daniele Lepido in Milan at email@example.comTo contact the editors responsible for this story: Nick Turner at firstname.lastname@example.org;Rebecca Penty at email@example.comFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Telecom Italia's Chief Revenue Officer Lorenzo Forina is set to leave the company as part of a wider overhaul of its commercial structure, two sources familiar with the matter said. Forina, who joined Telecom Italia (TIM) in 2013, was appointed to his role a year ago, with the task of developing TIM's domestic consumer and business client divisions.
Asset manager Cordiant Capital is looking to raise around $350 million for a telecoms infrastructure equity fund and has hired two veteran dealmakers as it looks to benefit from strong growth in mobile data usage. Canadian-based Cordiant is speaking to potential anchor investors for the fund, Cordiant IX, co-Chief Executive Benn Mikula told Reuters.
Telecom Italia's efforts to recruit investors to help it to create a national broadband champion with Open Fiber have stalled, sources close to the matter say, as it is proving hard to hammer out a deal structure. The former Italian telecoms monopoly has been talking since last June with utility Enel and state lender Cassa Depositi e Prestiti (CDP) on ways of combining their fibre broadband operations. In a bid to get the ball rolling, Telecom Italia (TIM) asked infrastructure funds in December to evaluate an investment in the potential future combined fibre-optic entity.
(Bloomberg) -- Google is taking over a chunk of Vodafone Group Plc’s data operations to help the world’s second-biggest mobile phone company identify cost savings using artificial intelligence.Vodafone will shift data processing and storage from its own premises to Google’s cloud and use Google’s real-time analysis tools to develop new services for business clients and streamline the carrier’s operations in 24 countries, the companies told Bloomberg.It will become “the brains of our business as we transform ourselves into a digital tech company,” said Simon Harris, Vodafone’s head of big data delivery.Alphabet Inc.’s Google is vying with Amazon.com Inc. and Microsoft Corp. for dominance in data centers and cloud computing. Vodafone has launched an internal platform dubbed “Neuron” to aggregate and crunch the ocean of data from its customers and networks. Chief Technology Officer Johan Wibergh said Vodafone can’t do that without Google’s capabilities.The companies didn’t give the price of the contract.Many phone companies are closing their aging data centers and outsourcing the work to a new generation of huge server farms developed by U.S. tech giants. Telecom Italia SpA has partnered with Google to sell cloud and edge computing services to corporate clients. Britain’s BT Group Plc is shifting from owning its data infrastructure to partnering with tech giants and selling complementary services such as system integration and cybersecurity.The Google deal is much more cost-effective than trying to build the same technological tools in-house, said Wibergh by phone. Vodafone is not selling its own data centers as they are still being used for other things, he added.To contact the reporter on this story: Thomas Seal in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Rebecca Penty at email@example.com, Thomas Pfeiffer, Jennifer RyanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- There are plenty of reasons Deutsche Telekom AG and Vodafone Group Plc make for uneasy bedfellows. But if Europe’s biggest telecommunications firms can overcome their differences, they would benefit from forging a strong alliance for one of their biggest cost centers: towers.The structures on which mobile operators install their antennas have generated a flurry of dealmaking as valuations soar and European carriers sense an opportunity to reduce debt and costs. By some estimates, towers account for a third of total capital expenditures. Since July, more than $8 billion of deals have been announced in Europe.Sexy they are not. Yet towers are critical vertebrae for wireless networks, and are ever more in demand with the advent of 5G networks. The new technology, which promises to transmit bigger gobs of data at faster speeds, will depend on antennas with a shorter range than previous generations because of the spectrum of bandwidth being used. That means more towers will be needed to post more antennas at closer intervals to power a network, making it increasingly attractive for operators to share them.With that in mind, Vodafone is already separating out its towers arm. An umbrella company will hold the stakes in its U.K. joint venture with the local unit of Madrid-based Telefonica SA, as well as a combination in Italy with Telecom Italia SpA’s Inwit subsidiary, pending regulatory approval. Options are being evaluated for Vodafone’s similar assets across the rest of Europe. Germany is at the top of the list.Just last week, Deutsche Telekom, Vodafone and Telefonica agreed to work together to build as many as 6,000 mobile sites in a bid to cut costs. They could do more, and merging Vodafone’s towers with those of Deutsche Telekom, the larger rival, would make the most sense for both parties. The former German national carrier has intimated it’s open to “possible scenarios,” especially given the German government’s ambitious target of having 98% of German homes, every highway and all federal roads equipped with download speeds of 100 megabits per second by the end of 2022.The timing isn’t perfect. The two firms’ rivalry is intensifying in Germany after the British firm agreed to buy Liberty Global Plc’s local cable assets for 19 billion euros ($16.5 billion). In trying to stymie the deal, Deutsche Telekom Chief Executive Officer Tim Hoettges questioned the implications that foreign ownership of major television assets would have for German democracy.But a towers tie-up could yield three major benefits: It would reduce debt, underpin an improved sum-of-the-parts valuation, and cut exposure to major capital expenditures over the next decade. Hoettges teased the idea at a conference in Barcelona last week, saying, “I’m ready for an IPO, I’m ready for a partnership — if we find one.”Mimicking Vodafone’s Italian deal would be sensible. There, Vodafone had the more valuable assets, so it received a 2.1 billion-euro cash payment and a 37.5% stake in the firm, Inwit. Telecom Italia has a holding of the same size, with the remaining 30% publicly traded.In Germany, Deutsche Telekom would expect to receive the cash payment. It has 9,000 towers, and Vodafone just 4,000. And since towers companies can sustain higher levels of debt, that money needn’t come from Vodafone itself. The new firm’s higher leverage capacity might be able to fund the deal.With the cash, Deutsche Telekom could reduce its net debt, which is set to jump significantly when U.S. subsidiary T-Mobile U.S. Inc. seals the $58 billion acquisition of Sprint Corp., expected early next year. That will push debt above Deutsche Telekom’s target ratio, Bloomberg Intelligence analyst Aidan Cheslin estimates.The value of the new towers company could approach 15 billion euros, based on earnings estimates and peer valuations. By selling a minority stake to the public market, Vodafone and Deutsche Telekom would be able to raise more capital and highlight value of the towers businessThe main reason not to merge the operations — being able to brag your network is better than someone else’s — is meanwhile eroding, given the network-sharing agreement reached last week.The biggest hurdle to a deal might be antitrust concerns. But other deals that seemed a gamble — such as Deutsche Telekom merging its Dutch business with the that of Swedish rival Tele2 AB — have been cleared. The pace of towers combinations is accelerating. France’s Orange SA has hinted it’s also evaluating its infrastructure assets, and will reveal more details Dec. 4. Europe’s two biggest telecoms giants should do so too, and together.To contact the author of this story: Alex Webb at firstname.lastname@example.orgTo contact the editor responsible for this story: Melissa Pozsgay at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Alex Webb is a Bloomberg Opinion columnist covering Europe's technology, media and communications industries. He previously covered Apple and other technology companies for Bloomberg News in San Francisco.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
European shares broke a five-day winning streak on Friday after U.S. President Donald Trump said he has not agreed to roll back tariffs on China, adding to uncertainties on whether the two sides were really getting close to signing a partial deal. The pan-European STOXX 600 index ended 0.3% lower after gaining 2.5% over the last five sessions.