Poste Italiane has announced a $12.50 billion offer to acquire Telecom Italia, proposing to merge two of Italy's largest industrial companies.

The Italian postal and financial services company said the transaction aims to create a single integrated group combining the operations of both firms. The deal would represent one of the largest corporate acquisitions in recent Italian business history.

Telecom Italia, the country's former state telephone monopoly, has faced financial challenges in recent years as it competes in Italy's telecommunications market. The company operates Italy's largest fixed-line network and provides mobile services to millions of customers.

Poste Italiane has expanded beyond its traditional postal services in recent years, developing significant financial services and digital payment capabilities. The company went public in 2015 and has pursued growth strategies across multiple business sectors.

The proposed acquisition would need regulatory approval and acceptance by Telecom Italia's shareholders. Details of the transaction structure and timeline for completion were not immediately disclosed.