Spain's telecommunications company Telefonica has raised its offer to buy Brazilian operator Global Village Telecom, or GVT, from French media conglomerate Vivendi to 7.45 billion euros ($9.82 billion) from 6.7 billion euros previously.

Telefonica S.A. said in a statement Thursday the offer includes 4.66 billion in cash and 12 percent of the share capital in the new company.

The new offer comes after Telecom Italia made a rival bid of 7 billion euros.

Telefonica says combining GVT with its unit Telefonica Brasil would make it the biggest telecom operator in Latin America's largest market. It also reiterated its offer to Vivendi to acquire an 8.3 percent stake it has in Telecom Italia.

Telefonica said the offer initially expires Friday.

Telefonica's shares were down 0.5 percent at 12 euros in Madrid.