UPDATE 1-Telecom Italia sells 2 bln-euro equity-linked bond

viernes 20 de marzo de 2015 08:00 GYT

(Adds lock-up period, details)

MILAN, March 20 (Reuters) - Telecom Italia said on Friday it had sold a 2 billion- euro ($2.14 billion) equity-linked bond issue that will help it fund its recently announced investment plan.

The group said last month it would spend 14.5 billion euros in the next three years on laying more fibre optic cables in Italy and upgrading its mobile network in Brazil.

The bond, which matures in 2022, will pay a coupon of 1.125 percent annually, the company said in a statement.

The conversion price will be set at a 70 percent premium to the volume-weighted average price of the shares on the Milan bourse on March 20. It will be announced later on Friday after markets close.

Telecom Italia said it had agreed to a 90-day lock-up period starting from Friday.

The phone group said on Thursday shareholders would be called to approve the issuance of new shares to be used for the conversion of the bond. ($1 = 0.9356 euros) (Reporting by Francesca Landini; Editing by Valentina Za and Greg Mahlich)