The board of the phone company also gave a positive assessment of the business prospects of the proposed deal, according to the statement. 

The favourable stance removes one source of potential pressure on Poste to raise the bid it announced in March, and may also shape investors’ judgements. A formal offer period starts next week.

Bloomberg earlier reported that the endorsement had been expected.

State-controlled Poste already owns about 20% of Telecom Italia, the former monopoly which remains the country’s main phone operator. The deal would bring it back under the government ownership after a major restructuring that included the sale of its fixed-line network and sharply reduced debt.    

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