Xavier Niel has acquired around 11% of Telecom Italia, according to unconfirmed reports that emerged on Thursday. [UPDATE: This story was corroborated by a Consob filing later on Thursday. Click here.]
The French businessman, founder of telco and ISP Iliad, bought a stake of around 6% via a personal investment company and an additional 5% through derivatives, Bloomberg claimed, c iting people familiar with the matter.
In total the shares are worth about €1.7 billion at Wednesday’s closing price, the newswire said.
There has been no official comment from the parties involved.
Telecom Italia’s biggest shareholder Vivendi holds a 20.03% stake. It acquired 14.9% as part of the sale of its GVT business in Brazil to Telefonica earlier this year, and has added to its holding a number of times in recent months.
As Bloomberg pointed out, by buying into the Italian incumbent Niel is pitting himself against Vivendi chairman and fellow French entrepreneur Vincent Bollore.
Bollore’s company has repeated its commitment to a long-term future with Telecom Italia at various times this year.
"The group reiterates its intention to be a long term shareholder of the Italian telecoms group and, more generally, to develop Vivendi’s activities in Southern Europe," Vivendi said earlier this week.
