Swisscom announced on Thursday that it has successfully closed the acquisition of Vodafone Italia (Italy) after obtaining all necessary regulatory approvals. The deal unites Fastweb and Vodafone Italia, creating a converged telecommunications entity in Italy, combining strengths in both mobile and fixed infrastructures. The integration is expected to generate significant synergies, with annual run-rate savings estimated at EUR 600 million.
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Swisscom Closes Vodafone Italia Acquisition
The transaction, which concluded on December 31, 2024, marks a key step for Swisscom to achieve its strategic objective of profitable growth in Italy, the official release said. The merged entity will offer competitively priced, innovative services to both consumers and businesses in Italy.
CEO of the newly formed Fastweb + Vodafone, said, "We herald a new era in Italian telecommunications. By embracing the opportunity of combined forces, we create a stronger, more innovative organisation to lead Italy into a sustainable digital future, empowering people, businesses and public administrations."
Swisscom's CEO, emphasised the strategic importance of the acquisition, stating, The successful closing strengthens Swisscom Group, positioning us for long-term value creation through growing cash flows and dividends. "At the same time, the focus on the Swiss market remains unchanged with continued high investments in innovation, top-quality service, and next-generation infrastructure," he added.
Revised 2024 EBITDA Guidance
With the early closing, Swisscom revised its 2024 EBITDA guidance to CHF 4.3-4.4 billion, down from CHF 4.5-4.6 billion. However, there is no impact on free cash flow. The company also confirmed that its revenue, CAPEX, and dividend guidance remain unchanged for 2024.
The newly formed Executive Committee will manage the combined entity, with leadership from both Fastweb and Vodafone Italia. New appointments for Chief IT Officer and Chief Technology Officer will be announced shortly, Swisscom said on January 2, 2025.
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Fastweb + Vodafone Integration
The integration process begins immediately, with the combined company continuing to operate under the Fastweb + Vodafone corporate brand.
"The process to integrate Fastweb and Vodafone Italia starts now. The combined entity will be managed by the newly appointed Executive Committee and will operate under the corporate brand Fastweb + Vodafone; the existing commercial brands Fastweb, Vodafone and ho. continue to be in place," the telco said.
