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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
COMMUNICATIONS
- We bulleted on 22 Jan about the strong bull-flattening YTD move in Telecom Italia spreads, bolstered by approval for the €22bn landline network sale to KKR which saw TITIM equity rally as much as 3%.
- Late yesterday it was confirmed that Italy's Ministry of Economy and Finance has made an offer (terms pre-agreed with KKR) to Telecom Italia to acquire their submarine cable unit, Sparkle, though no details of the offered amount are currently known. A sources pieces from last year implied a value of around €700mn.
- The offer includes an option for Telecom Italia to retain a minority stake for a certain period and support the strategic plan's implementation and is valid for 15 days, with Telecom Italia's Board of Directors set to review it on 07 Feb.
- Sparkle, which manages subsea cables between Italy, the US and Israel, is considered strategically valuable, with the Italian government eager to retain Italian control.
- Telecom Italia is sitting +1.25% today and their spreads are tighter at most maturities (by up to 10bps at the short-end) though much of the outperformance noted on 22 Jan has since reversed.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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