(Finance) – The Board of Directors of TIM met today for review KKR’s non-binding network offer on February 1, 2023, then extended by one month by the US fund. The offer in question provides for the purchase of a stake in a company to be incorporated (netco), which would control the managerial and infrastructural perimeter of the fixed network, including the assets and activities of
FiberCop and the stake in Sparkle.
The Board, committed to pursuing the strategic objectives announced on the Capital Market Day of 7 July 2022, examined the content of the offer and the letter of extension received on 21 February 2023, also with the help of the analyzes and insights carried out by management with the advisor support.
The BoD “He greatly appreciated the interest expressed” by KKR, although it felt that “the same does not fully reflect the value of the asset and TIM’s expectations, also in terms of the sustainability of the company resulting from the operation”.
“To help align conditions of the proposed transaction with respect to the relevant strategic framework for TIM, the Board resolved to make available to KKR – not exclusively – some specific informative elements and to request the further information necessary to fully understand the assumptions and economics of the proposal”. All this “with the goal of receiving an improved offeras a result of the aforementioned exchanges of information ed by the deadline of March 31, 2023“.
Meanwhile, TIM shares they are confirmed to be well bought on the stock market today: with trading around €0.306 (+1.16%). The medium-term structure remains positive, while signs of contraction emerge due to the short-term approach forced to deal with the resistance identified at 0.3096 Euro. The functional role of support offered by 0.3027 is still optimal. Overall, the general context could justify a continuation of the consolidation phase towards the 0.2996 level.