Telecom Italia defence collapses

Telecom Italia defence collapses

AN ATTEMPT by Telecom Italia to fend off Olivetti's $65bn (pounds 40bn) hostile bid collapsed at the weekend as shareholders failed to turn out on the third consecutive day in Turin to vote on part of its defence strategy. Representatives of just over 17 per cent of the stock, short of the 20 per cent required, attended a meeting on Sunday, following a failure on Saturday to reach a quorum of one-third. Commentators said the meeting's failure meant Telecom's defensive plans, including the conversion of savings shares, a share buyback and the buyout of the rest of its mobile unit TIM were, in effect, dead.