Proenca de Carvalho replaces Bava
LISBON — In the build-up to Portugal Telecom’s third quarter spin-off of PT Multimedia, which reps more than 80% of the country’s cable and satellite TV business, Daniel Proenca de Carvalho will replace Zeinal Bava as PTM chairman.
Proenca de Carvalho is one of Portugal’s most distinguished lawyers, whose previous positions include Media Minister in the center-right PSD government and chairman of pubcaster RTP.
PTM’s general meeting on Wednesday also raised the cap on the voting rights of any single shareholder from 5% to 10%, in line with the cap in force in parent company PT.
Spin-off raises the prospect of the biggest ever competitive shake-up in Portugal’s telco and media businesses.
PTM recently launched a triple-play, telephony-TV-Internet, subscription offer to its cable TV clients that is seen as a major threat to PT’s core landline telephony business.
PT responded last week with its own triple-play package, offering landline clients an 88-channel Internet TV package.
At present, both PT and PTM look likely to maintain the same core shareholders (including BES, CGD and Ongoing Strategy Investments), who will own more than half both companies.
Nonetheless, Proenca de Carvalho emphasized that there will be complete separation of management teams and that PTM will be a fully-fledged competitor to PT.