TIM board backs Poste Italiane’s €10.8 billion offer

Telecom Italia said its board unanimously approved Poste Italiane’s voluntary public tender and exchange offer worth €10.8 billion, or $12.4 billion, and judged the offer to be fair.

Poste Italiane, Italy’s state-controlled postal service and TIM’s largest shareholder, launched the bid in March. The offer combines cash and Poste Italiane shares and seeks full control of TIM.

The offer valued each TIM share at about a 9% premium as of March 20. TIM’s board said it gave a positive assessment of the transaction’s rationale, industrial prospects and consistency with TIM’s current path, based on management analysis.

Poste Italiane has said it aims to build what it calls Italy’s largest connected infrastructure platform.