According to TIM, the purpose of the MoU is to start a process aimed at creating a single, non-vertically integrated telecommunications network operator, controlled by CDPE and participated by Macquarie and KKR, which will accelerate the rollout of fibre optic and Very High Capacity Networks (VHCN) infrastructures throughout Italy.
It adds that the parties have agreed that the integration may be structured by separating TIM’s fixed network infrastructure activities from its commercial activities – through a corporate transaction or combination of corporate transactions to be defined – and the integration of the former with the network controlled by Open Fiber in a manner to be defined. Following completion of this transaction, TIM will be able to focus its activities in the Italian market on telecommunications and data transmission services as a priority.
The parties now aim to sign a binding agreement by October 31, following authorisations, including antitrust, from the relevant national and European Authorities.
It will also require the approval of TIM’s shareholders.