EQT to acquire 60% stake in new Italian mobile network carved from Wind Tre

EQT, through its EQT Infrastructure VI fund, has agreed to acquire a 60% stake in a newly formed entity, which will own and operate the mobile and fixed network infrastructure of Italian telecommunications company Wind Tre.

The deal values the new company at €3.4 billion.

CK Hutchison, which is the current owner of Wind Tre, will own the remaining stake of 40% in the new Italian mobile network.

The new entity is expected to own and operate the largest mobile network in Italy and a portfolio of assets. This includes radio antennas, transport network, base stations, and related contracts.

The new Italian mobile network will be the first standalone access network in Europe, which will be focused mainly on mobile and devoted to providing wholesale services to mobile operators such as Wind Tre and others via its network. At the end of last year, the mobile network covered nearly 67% of Italy with 5G reception.

EQT to acquire 60% stake in new Italian mobile network carved from Wind Tre. Photo courtesy of Mondo3 S.r.l/Wikimedia Commons.

Benoit Hanssen — incoming CEO of the new Italian mobile network said: “We are excited to partner with EQT Infrastructure to drive the development of one of the first independent multi-tenant radio access network owners and operators globally.

“We are proud to be one of the first operators in Europe to have designed such an innovative transaction in partnership with an experienced and reputed investment firm.”

EQT Infrastructure will utilize its experience in the development of digital infrastructure firms to help support the new entity’s plan. The focus will be on creating the company’s network and service offering as well as exploring expansion opportunities within areas like fixed wireless connectivity, Internet of Things (IoT), and private networks.

Matthias Fackler — Partner and Head of Europe for EQT Infrastructure’s advisory team, said: “EQT Infrastructure is excited to partner with CK Hutchison and the Company’s management team in this bespoke transaction.

“We are committed to investing in the continued development of Italy’s digital backbone and leveraging the know-how we have developed in this unique transaction to explore similar partnership opportunities globally.”

The deal, which is subject to regulatory approvals, is anticipated to close in six to nine months.