Ad hoc announcement pursuant to Art. 53 LR
Swisscom announces that Fastweb + Vodafone and TIM have entered into a non-binding agreement aimed at developing and operating new mobile towers (passive infrastructures) with up to 6,000 new sites in Italy.
The joint initiative by Fastweb + Vodafone and TIM is designed also to support the swift deployment of 5G networks nationwide. It will allow Fastweb + Vodafone and TIM to align operational efficiency and costs to the European average, while ensuring infrastructure quality and the technological flexibility for the development of next-generation networks. The initiative that will also offer access to other providers of telecommunication services will be initially implemented through a 50/50 joint venture structure with the intention to add third-party investors to the shareholding structure to further improve capital efficiency.
Construction activities foresee a phased deployment over multiple years. The anchor tenants Fastweb + Vodafone and TIM will enter into long-term service agreements with the Joint Venture for the procurement of passive infrastructure services at market prices. Fastweb + Vodafone and TIM will jointly evaluate the provision of further related services.
The initiative ensures long-term sustainability of telecom infrastructure economics in Italy and allows to redirect investment capacity towards next-generation networks. The implementation of the project remains subject to customary approvals.
The financing of the project will be covered through a combination of equity from third-party investors and debt. The joint venture will be consolidated at equity within the financial statements of Swisscom and will have no impact on free cash flow and the guidance.
Swisscom AG
SCMN / Valor 874251 / ISIN CH0008742519
Group Media Relations
CH-3050 Bern
Phone +41 58 221 98 04
E-Mail media@swisscom.com
www.swisscom.ch
Disclaimer
This notification contains forward-looking statements. In this notification, such forward-looking statements include, without limitation, statements relating to our financial condition, results of operations and business and certain of our strategic plans and objectives.
Because these forward-looking statements are subject to risks and uncertainties, actual future results may differ materially from those expressed in or implied by the statements. Many of these risks and uncertainties relate to factors that are beyond Swisscom’s ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behaviour of other market participants, the actions of governmental regulators and other risk factors detailed in the past and future filings and reports of Swisscom, Fastweb and Vodafone Italia (Fastweb + Vodafone Italia), including those filed with the U.S. Securities and Exchange Commission and in past and future filings, press releases, reports and other information posted on Swisscom Group Companies’ websites.
Readers are cautioned not to put undue reliance on forward-looking statements, which speak only of the date of this communication.
Swisscom disclaims any intention or obligation to update and revise any forward-looking statements, whether as a result of new information, future events or otherwise.