Swisscom has SFr1.6bn-1.7bn (US$1.8bn-1.9bn) to spend on acquisitions in Switzerland and Italy, according to CFO Mario Rossi.
The Swiss incumbent looks “mainly” at those two countries for M&A opportunities, Rossi told Germany’s Boersen-Zeitung,…
Swisscom has SFr1.6bn-1.7bn (US$1.8bn-1.9bn) to spend on acquisitions in Switzerland and Italy, according to CFO Mario Rossi.
The Swiss incumbent looks “mainly” at those two countries for M&A opportunities, Rossi told Germany’s Boersen-Zeitung, adding that smaller companies, particularly IT service providers, are of particular interest.
Separately, while media have speculated for some time that UK-based Vodafone may target its Italian triple-play provider Fastweb, Rossi maintained that Swisscom has no plans to sell it.
Fastweb should make a positive contribution to Swisscom’s free cash flow from next year, he said, noting that he expects the Italian economy to improve.
Swisscom reported revenues of SFr11.43bn for FY 2013, of which Fastweb contributed 18% (SFr2.06bn).
The Italian unit, which Swisscom acquired in 2007 for €4.6bn (US$6.2bn), has an all-IP fibre optic network which spans more than 36,000 km reaching more than half of the country’s population, according to Swissom’s 2013 annual report.
Fastweb has a partnership agreement with Telecom Italia which will see it invest about €400m until 2016 into network expansion. Fastweb does not have a mobile network but operates as an MVNO.
