Italy seeks control of Telecom Italia's key assets in takeover – Reuters

The Italian government is eyeing control of Telecom Italia SpA's key strategic assets in any takeover deal involving the telco, Reuters reported Jan. 12, citing Minister of Economic Development Giancarlo Giorgetti.

Giorgetti said in a press briefing that "any takeover bid must take into account a framework within which the state cannot relinquish control," according to the report.

The government, which owns a 10% stake in Telecom Italia through state lender Cassa depositi e prestiti SpA, wants to merge Telecom Italia's fixed network assets with those of Open Fiber SpA.

This comes amid private equity firm KKR & Co. Inc.'s €10.8 billion nonbinding offer for the Italian telco, which is conditional on support from Telecom Italia's board and the Italian government.

KKR is reportedly seeking co-investors to back its takeover of Telecom Italia.