Telecom Italia (TI) has sold a 40% stake in its Infrastrutture Wireless Italiane (INWIT) cell tower business via an initial public offering (IPO), gaining EUR875.1 million (USD995.3 million), or EUR779.8 million after expenses. However, the telco notes that this figure could increase to EUR857.8 million if its ‘greenshoe’ option is exercised. A greenshoe is a clause contained in the underwriting agreement of an IPO that allows underwriters to buy up to an additional 10% of company shares at the offering price. They have 30 days after the start of trading to take it up. INWIT’s shares are scheduled to begin trading on 22 June, with the price set at EUR3.65 per share.
INWIT, which was created earlier this year, will operate around 11,500 mobile towers across Italy on behalf of TI.