Brazilian National Telecommunications Agency (Anatel) decided to delay the decision on the opening of a process to analyze the expiration of telecom company Oi’s operating licenses, which is under judicial recovery.
The regulator had scheduled the analysis for Thursday, September 28. The decision to postpone the process was announced after Oi was able to adjourn its general meeting of creditors from October 9 to October 23, where the recovery plan will be analyzed.
Anatel expects that the company will reach “a market solution”, said in a statement Leonardo Euler de Morais, board member of the regulator. De Morais also stated that the judicial process under way might even end up in a “bankruptcy”, thus, “the continuity of services provided and the integrity of the Brazilian telecommunications system is a reason for maximum attention”.
De Morais also said that the viability of the company depends on a “significant capital contribution” and admitted that, in addition to the expiration of the licenses, it analyzes an intervention in the operator. Oi is the largest fixed-line company in the country. In addition, it provides pay TV, mobile telephony and broadband services.