Telecom Italia and Vodafone each raise €400 million by reducing their stakes in INWIT
The telecoms towers company holds the network tower assets of both companies
Telecom Italia and Vodafone Group have each raised around €400 million by selling off shares in Europe’s second largest telecoms towers firm.
The two telcos sold off shares in Infrastrutture Wireless Italiane Spa (INWIT), reducing their respective holdings from 37.5 per cent to 33.2 per cent each.
“Further to the announcement on 22 April 2020, Telecom Italia S.p.A. (“TIM”) announces that, it has successfully completed the placement of 41.7 million shares of Infrastrutture Wireless Italiane S.p.A. (“INWIT”), equal to approximately 4.3 per cent of INWIT's share capital, at a price of €9.60 per share (the “Sale”), resulting in gross proceeds to TIM of approximately €400 million, which will be used to reduce leverage. Vodafone sold an equal number of shares in the placing,” Telecom Italia said in a statement to the press.
INWIT holds the combined telecoms towers assets of both Vodafone Group and Telecom Italia.
Telecom Italia's share price rose by 2 per cent on the news of the deal, to stand at €0.34. Vodafone Group’s share price fell slightly, although this may well have been due to its announcement that it had paid out $200 million to aid its ailing joint venture in India.