Oi Denies Brasil Telecom Acquisition Rumors

Oi has not completed a merger with Brazil Telecom, according to an official at the Brazilian telecom, who rejects local press reports to the contrary. There have been no advances since March 28, when the company announced that it was in talks with Brasil Telecom shareholders. Agencies also reported Friday that an ongoing legal battle between Citi and Brazilian fund manager Opportunity could threaten the merger of the two telecoms. The two entities, along with a group of Brazilian pension funds, control Brasil Telecom. Citi has sued Opportunity for $300m, according to the press reports.