France Telecom has joined the growing ranks of potential suitors eyeing Italian incumbent, Telecom Italia (TI), according to reports Friday.

As AT&T and its partner American Moviles attempt to secure a 66 per cent stake in Olimpia – which owns 18 per cent of TI – France Telecom is examining the possibility of stepping in, should the North American attempt fail, reports the daily, Il Sole 24 Ore, without naming a source.

AT&T and Movil have exclusive talks on the deal until 30 April but the pair are looking for guarantees on the future of TI’s fixed line business which the Italian government intends to open up to all of Italy’s operators.

On Thursday the head of Italy’s telecommunications watchdog, Agcom said he wanted TI’s fixed-line network under separate management by year end.

Meanwhile, Italian banking behemoth, Intesa Sanpaolo is talking to the North American duo about splitting Olimpia into thirds. However, financing the deal does not appear to be the problem. Various reports suggest that the real sticking point with the purchase of a controlling stake in TI is about control of the telecoms giant.

Various discussions are reportedly going on between Intesa and “sources”, according to Il Sole 24 Ore, about who will run TI and how many people should be on its board.

The Italian government has made clear its desire to keep TI in Italian hands.

The Suitors’ path to TI
Telefonica back in the race for TI stake

12 April 2007

Big banks confirm TI interest

11 April 2007

Europe’s biggest circle Telecom Italia

05 April 2007

DT steps in to buy Telecom Italia

04 April 2007

TI’s Rossi under attack from Olimpia

04 April 2007

American operators move on Telecom Italia stake

03 April 2007

Pirelli in talks to sell TI stake

02 April 2007

Telefonica after stake in TI – reports

28 February 2007

TI not ready for Spanish talks

20 February 2007

Telefonica considering share in Telecom Italia

13 February 2007

Pirelli says interest in TIM holding

19 January 2007

Hinduja brothers looking at TI – Reports

12 January 2007

Pirelli takes 80% of Telecom Italia

05 October 2006

TI’s Rossi to explain reorganisation to stock market

25 September 2006

Bankers “ready” to invest in TI

20 September 2006

Bushido-style drama grips Italy

18 September 2006

TI splits fixed and mobile, inks Murdoch deal

11 September 2006

Telecom Italia mulls reorganisation

11 September 2006