LONDON, Oct 6 (Reuters) - Spain's leading telecoms company,
Telefonica
Telefonica is the largest shareholder in Telco, the Italian holding company that owns a controlling stake in Telecom Italia, Italy's largest phone company.
Telco's shareholders are due to decide at a meeting on Oct. 28 whether to extend their investor pact which expires in April, the FT reported.
Telefonica, which paid 2.3 billion euros ($3.36 billion) in 2007 for 42 percent of Telco in turn giving it 10 percent of Telecom Italia, is expected to be in favour of renewing the pact, the FT said, despite recent calls from Italian politicians for Telecom Italia to remain in Italian hands.
The FT quoted Telefonica as saying it was "very happy with its position in Telecom Italia through Telco."
Telefonica could not be immediately reached for comment.
($1=.6840 Euro)
(Reporting by Jon Carter; Editing by Richard Chang)