KKR's Telecom Italia Takeover Hit Roadblock Over Takeover Process: Reuters

Author: Anusuya Lahiri | April 05, 2022 07:20am

• The likelihood of U.S. fund KKR & Co Inc (NYSE:KKR) pushing ahead with a firm bid for Telecom Italia SpA (OTC:TIIAY) turned bleaker as they deadlocked over access to the company's books, Reuters reports.
• KKR refused to confirm a bid unless Telecom Italia provided access to its books under a due diligence process.
• KKR needed more information as the war in Ukraine had changed market conditions. 
• Telecom Italia focused on being a standalone company and only looked to offer KKR access once it bid formally.
• Telecom Italia looked to split its wholesale network operations from its service business.
• The Italian telecom company had cut its outlook and suffered multiple credit rating downgrades.
• European private equity fund CVC looked to procure a stake in an enterprise services business spun out of Telecom Italia.
• Telecom Italia looked with Italian state lender CDP to discuss combining the phone group's network with smaller broadband rival Open Fiber.
• Price Action: KKR shares closed higher by 0.27% at $59.94 on Monday.

Posted In: KKR TIIAY