The Spanish group TELEFONICA and PORTUGAL TELECOM have announced the merger of the mobile telephone subsidiaries in Brazil. The new company is valued at USD 10 billion and has more than nine million customers. Furthermore, TELEFONICA will increase its stake from 4.75% to 10% in PORTUGAL TELECOM by buying from the stock market while, inversely, PT is studying the possibility of increasing from 1% to 1.5% its stakes in its Spanish partner.