TIM and Poste Shares Slide 4.3% as Takeover Bid Enters Decisive Week

TIM and Poste Italiane both suffered a 4.3% drop on the Milan stock exchange as Poste’s takeover bid for the telecom group entered its final week. TIM shares remained just under 3% above Poste’s offer price.

The bid closes on Friday. Shares bought on Thursday and Friday can no longer be tendered, while Poste has until Thursday to make a possible improved offer. The state-controlled group, which already owns about 20% of TIM, has made the bid’s effectiveness conditional on securing at least 66.7% of TIM’s capital.

So far, Poste has received acceptances covering just under 5.5% of the shares targeted by the offer. The final week will therefore determine whether the bid can build enough support to meet its threshold.

TIM CEO Pietro Labriola and the company’s senior managers with strategic responsibilities have tendered the shares they hold. TIM said its board had already judged the consideration financially fair and assessed the offer’s rationale and industrial prospects positively. Details of the individual transactions will be disclosed through internal-dealing notifications.