Brazil’s TIM and Vivo shares slide after Highline bids higher for Oi’s mobile assets

SAO PAULO: Shares in Brazilian telecoms firm Oi SA were posting strong gains after it received a higher offer for its mobile unit, driving shares of rivals Telefonica Brasil SA and TIM Participacoes SA sharply down.

Late on Wednesday, Oi said it has entered exclusive talks with Highline do Brasil, a portfolio company of U.S. private equity firm Digital Colony, after its offer exceeded the minimum price of 15 billion reais ($2.90 billion) set for its mobile division, beating a joint bid by Telefonica Brasil, TIM and America Movil’s Claro.

Oi’s preferred shares were 8% up while common stocks were trading over 14% in the morning trading session.