TELEBRAS telecom stock plummet after merger is denied
TELEBRAS telecom's stock on São Paulo Stock Exchange (BOVESPA) plummet Tuesday (Jan. 12), a day after the state-led company denyed planning a merger with the Federal Data Service (SERPRO) and DATAPREV (responsible por Brazil's pension data system). On Monday (Jan. 11), TELEBRAS' preferred strock rose 239.29% in BOVESPA's trading session, after Folha de S. Paulo newspaper reported that the federal government was considering merging the three companies to create a single state-led firm for information and communications technology. The preferred stock closed the session Tuesday down 11.60% and the ordinary stock declined 25.76%. 
Earlier on Tuesday, TELEBRAS reported that they have never participated in any initiative to carry out a merger with SERPRO and DATAPREV, nor had they any plan to do so.
According to TELEBRAS, one of their activities as a state-led company is to try to establish partnerships with several other companies. SERPRO has not confirmed the news on the merger either, but said the three companies have been meeting to discuss the integration and optimization of the government's services.
Translated by Amarílis Anchieta
Fonte: TELEBRAS telecom stock plummet after merger is denied
