(Bloomberg) -- Telecom Italia SpA sold its remaining stake in mobile tower operator Infrastrutture Wireless Italiane SpA, picking up the pace in its drive to de-leverage and boosting cash flow beyond its full-year guidance levels.
The carrier sold its indirect holding of about 3% in the tower company known as Inwit to a group led by French private equity firm Ardian SAS, according to a statement Tuesday. The one-time phone monopoly said it will cash in approximately €250 million ($273 million) from the deal, confirming an earlier report by Bloomberg.
The proceeds, based on a share price for Inwit of €10.43, were not included in Telecom Italia’s 2024 guidance and are expected to be recorded in the fourth quarter, the company said.
Telecom Italia shares rose as much as 1.7% in early trading in Milan on Tuesday.
Following months of drawn-out negotiations, Telecom Italia in July completed the landmark sale of its fixed-line network to US private equity firm KKR & Co., in a deal that valued the grid at as much as €22 billion, including about €3 billion in earn-outs.
By selling the grid, its most valuable asset, Telecom Italia was able to slash debt and streamline itself to compete in one of the world’s most competitive markets for phone carriers.
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