V.tal to bid for Oi’s fiber base in second tender round

Brazilian neutral network V.tal entered into an agreement with Oi’s international creditors and export credit agencies to submit a proposal for the telco’s fiber customer base.

This proposal from V.tal, known as fallback bid, would gain relevance only in a second round of the tender process, provided no proposal wins in the first one.

“According to such announcement, this bid would be submitted only in a subsequent round of bidding of the respective competitive procedure, together with any other proposals formulated by other interested parties, in the event that no proposal is declared the winner in the initial round,” Oi said in a material fact about V.tal's agreement.

The telco added that it is not a party to and has no knowledge of the terms and conditions of the agreement between V.tal and the creditors.

The first round of the competitive process will consist of five lots “in order to maximize competitiveness and, consequently, the amount to be raised”, added Oi.

There is still no specific date for this process.

The sale of Oi's fiber customer unit, which totals more than 4mn subscribers, is part of the telco's judicial recovery plan approved last week.

V.tal is one of Oi’s investees.

The neutral fiber network and datacenter company is a JV created by funds linked to BTG Pactual with Oi to operate in the fiber wholesale space, marketing Oi’s backbone and backhaul transport networks.