After obtaining all regulatory approvals, Swisscom has completed the acquisition of Vodafone Italia on 31 December 2024.
The Swiss telco’s Italian subsidiary Fastweb and Vodafone Italia bring together complementary mobile and fixed infrastructures to create a converged challenger in Italy under the new corporate brand Fastweb + Vodafone.
According to Swisscom, Fastweb + Vodafone will unlock significant value for all stakeholders and sustain investments in the Italian telecommunication market through increased scale, a more efficient cost structure and significant annual run-rate synergies of around €600 million, adding that, by combining Fastweb’s strengths in fixed connectivity with Vodafone Italia’s leading position in mobile services, the combined entity will offer innovative, competitively priced converged services to Italian consumers and businesses.
“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,” said Walter Renna, CEO of Fastweb + Vodafone.
Swisscom CEO Christoph Aeschlimann added: “I am thrilled about the successful closing, as it strengthens Swisscom Group. The improved positioning in Italy will create long-term value for all stakeholders – thanks to growing cashflows and dividends in the future. 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.”
The process to integrate Fastweb and Vodafone Italia is starting now. The combined entity will operate under the corporate brand Fastweb + Vodafone; the existing commercial brands Fastweb, Vodafone and ho. continue to be in place.
Due to closing in 2024, costs in the amount of up to €200 million will be recognised in the Swisscom financial statements 2024. These costs relate to the planned exit from existing MVNO and mobile network-sharing agreements in connection with the migration of Fastweb mobile customers to the Vodafone Italia network and are part of the previously communicated integration costs. Further details will be provided at the presentation of Swisscom’s FY 2024 results.
The revised EBITDA guidance for 2024 is therefore CHF 4.3-4.4 billion (so far CHF 4.5-4.6 billion), with no impact on free cash flow in 2024. The 2024 guidance for revenue, CAPEX and the dividend remains unchanged.
