Telecom Italia SpA will be ready for new acquisitions after completing a substantial €22 billion network divestiture to KKR & Co., significantly reducing its debt and positioning itself for future market consolidations. The transaction cuts Telecom Italia’s debt to approximately €7.5 billion from €21.4 billion by the end of 2024, facilitating financial maneuverability in Italy’s competitive telecom sector. CEO Pietro Labriola highlighted that this pivotal shift allows Telecom Italia to focus on enterprise services such as cloud computing and data centers, as well as its lucrative Brazilian unit. The move also aligns with recent activities in the industry, including Swisscom’s acquisition of Vodafone Italia. Despite market competition intensified by Iliad SA since 2018, Labriola remains optimistic about Telecom Italia’s strategic position. The European Union has granted early approval for the deal without conditions, reflecting no competition concerns.
Telecommunications, Private Equity, Cloud Computing and Data Centers,Italy, United States
https://mergersacquisitions.einnews.com/article/716803414/ARqozslnISsdmz81?ref=rss&ecode=Q1vNcweEggLWKz7L