KKR's $37 billion approach boosts Telecom Italia shares

The Tim logo is seen at its headquarters in Rome, Italy November 22, 2021. REUTERS/Yara Nardi

MILAN (Reuters) -Investors in Telecom Italia on Monday cheered a proposal by U.S. fund KKR to buy Italy's debt-laden former phone monopoly for 33 billion euros ($37 billion) in what would be Europe's biggest ever private equity buyout.

The move comes as a boardroom war rages at Telecom Italia (TIM), which has been mired in crisis for years but is crucial to government efforts to expand broadband connectivity because it owns the country's main network.