LISBON — Portugal Telecom Group and its cable and satellite arm PT Multimedia are swapping execs, as PT preps to spin off its 58% stake in PTM.
Rodrigo Costa, former CEO of Microsoft Portugal and currently VP of the PT Group, will be CEO of PTM, which reps more than 80% of Portugal’s cable and satellite TV market.
PTM’s CEO, Zeinal Bava, is moving over to become CEO of the PT Group. Daniel Proenca de Carvalho will continue as chairman of PT Multimedia.
PT hopes the spinoff will satisfy domestic and EU requirements for greater competition in the Portuguese telco and cable markets.
However, Portuguese and EU competition authorities, together with PT’s competitors, are concerned that PT and PTM will share the same core shareholders and have emphasized the fact that, in addition to separate management teams, there must be genuine competition between companies.
Costa was recently responsible for introducing a 10 million ($13.3 million) IPTV service within the PT Group, which will compete with PTM.