Telecom Italia SpA (BIT:TIT) said its board had agreed to begin exclusive negotiations with media firm Cairo Communication SpA (BIT:CAI) about the sale of its entire stake in TV channel La7 Srl, part of the media unit Telecom Italia Media SpA (BIT:TME).
The talks will not concern the 51% stake held by La7 in the MTV Italia station, the vendor explained.
Telecom Italia had previously tried to sell its 77.7% stake in troubled Telecom Italia Media by the end of 2012 in a move to reduce debt and focus on its core operations. However, it failed to get attractive bids.
Diego Della Valle, chairman of Italian clothing and footwear conglomerate Tod’s SpA (BIT:TOD), said on Saturday that he had also submitted an offer for La7. The other suitor in the race for Telecom Italia Media assets was private equity investor Clessidra SGR SpA, which had offered to buy the entire media unit.