Telecom Italia has sold a stake in its telecoms towers business through an initial public offering, gaining close to €780 million in the process.
The Italian incumbent sold around 40% of subsidiary Infrastrutture Wireless Italiane (INWIT) at a price of €3.65 per share. The total value of the IPO comes in at €875.l3 million.
After paying various commissions, Telecom Italia will generate proceeds of €779.8 million. This could increase to €857.8 million if its greenshoe option is exercised.
That greenshoe, or overallotment, option allows the IPO’s underwriters to acquire up to 10% of INWIT’s shares. They have 30 days after the start of trading to take it up.
INWIT’s shares are scheduled to begin trading on 22 June.
