Core Viewpoint - Brazilian internet provider Desktop is in preliminary discussions with telecom operator Claro regarding a potential acquisition, although no binding agreement has been reached yet [1][2]. Group 1: Company Developments - Desktop specializes in fiber optic internet services and has confirmed non-binding talks with Claro about a potential transaction [1]. - The news of the potential acquisition led to a significant increase in Desktop's share price, which surged by as much as 16% before settling 10% higher, while Brazil's benchmark Bovespa stock index fell by 1.6% [2]. - Claro, owned by Mexican telecommunications firm America Movil, is reportedly conducting due diligence but has not submitted a binding offer yet [2][3]. Group 2: Market Context - This is not the first instance of Desktop being a target for acquisition; in 2024, Claro's rival Telefonica Brasil also engaged in discussions for a potential purchase of Desktop [3]. - America Movil and Chilean firm Entel are considering a joint offer for Telefonica's operations in Chile, indicating ongoing consolidation activities in the telecommunications sector [3].