SAO PAULO -(Dow Jones)- A Brazilian judge has barred telecommunications regulator Anatel from issuing its report on the sale of a controlling stake in Telecom Italia to a newly-formed Italo-Spanish consortium named Telco until a local court rules on a request by Claro, Brazil's No. 3 cellphone operator, to allow it to view Anatel documents related to the deal.
Federal Judge Joao Batista Gomes Moreira passed the injunction pending a decision from a federal judge in Brasilia on Claro's claim that it needs to see the documents as the deal will fundamentally change the market in which it operates.
Claro is owned by Mexico's America Movil.
A spokesman at the 15th Civil Court in Brasilia said Judge Joao Luiz de Souza is studying the case but there is no time frame for a decision.
Anatel is opposing Claro's request because of the confidential nature of some of the documents and argues that the competitor is not a direct interested party.
The Telecom Italia/Telco deal is on hold until Anatel issues its report.
Telco shareholders include Spain's Telefonica along with Italian groups Intesa Sanpaolo, Mediobanca, Generali and the Benetton family.
The deal potentially has major consequences for the Brazilian mobile phone market, where Telefonica is already part-owner of Vivo Participacoes, the leading operator by market share, and Telecom Italia owns the second largest, TIM Participacoes.
Anatel is not expected to block the sale but may impose operational restrictions on TIM or Vivo due to the crossed interests of the owners.
-By Alastair Stewart; Dow Jones Newswires; 5511 3145-1479; alastair.stewart@dowjones.com
(END) Dow Jones NewswiresÂ
Posted to the site on 5th September 2007
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