Telecom Italia (TI) plans to assess the market for its mobile towers in Italy and Brazil ahead of a potential sale in the first half of this year.
CFO Piergiorgio Peluso said TI is preparing to sound out interest in the towers over the coming months….
Telecom Italia (TI) plans to assess the market for its mobile towers in Italy and Brazil ahead of a potential sale in the first half of this year.
CFO Piergiorgio Peluso said TI is preparing to sound out interest in the towers over the coming months. The comments were made during a conference call on the company’s FY 2013 results. TI aims to generate about €2bn in cash proceeds from the combined sales of the towers and TI Media Broadcasting.
A tower sale could potentially close in H1 2014, a company spokesperson said.
An EMEA telecoms infrastructure banker recently told TelecomFinance that there would be “clear appetite” for TI’s towers, although any deal would take time. Potential buyers could include a consortium, the banker, who is not directly involved in the process, suggested.
Italian towerco EI Towers, infrastructure fund F2i and Spain’s Abertis Infraestructuras have also been named as potentially bidders for the approximate 12,000 Italian towers.
TelecomFinance understands that Deutsche Bank is advising TI on the matter. Local media have reported that Banca IMI has also taken a role.
With regards to the Brazilian unit’s 7,000 towers the Milan-based telco has reportedly hired Morgan Stanley.
TI is considering the tower sales as means to help cut debt, which it reduced to its target €27bn by the end of 2013.
Commenting on the year’s results, CEO Marco Patuano said: “The results of the 2013 financial year, especially the signs from the last quarter, regarding both the net financial debt and the performance of the domestic market, leave us hopeful for 2014.”
Separately, Russia-focussed telco VimpelCom is also considering options to sell towers belonging to Italian unit Wind Telecomunicazioni, as well as towers in Russia and Bangladesh.
