The current macroeconomic scenario is characterised by rising raw material and energy costs, a slowdown in economic growth with a very high rate of inflation, and rising interest rates. The European telecommunications sector also faces a new phase of technological innovation with investments in 5G, fibre optics, and innovative infrastructure (data centres, cloud technologies, etc.). In Italy, there has been strong price pressure, driven also by particularly stringent regulations.
In this context, the growing interest on TIM's high debt burden, accrued as a result of historical corporate events, has weighed increasingly heavily on the company’s profitability.
The 2024-2026 Business Plan rests on two pillars. The first is debt reduction, which, through the sale of the fixed access network, will decrease by €14.2 billion, increased by potential earn-outs of approximately €2.9 billion, the sale of Sparkle, and the recovery of the 1998 concession fee. The second pillar is the recovery of competitiveness of services, partly thanks to the easing of regulatory restrictions. Over the past two years, the conditions have been created for the effective implementation of the Plan, focusing specifically on maximising efficiencies, creating the ecosystem for the sale of the fixed network (after 12 years of attempts), ensuring the fulfilment of promises to the market (guidance), and returning profitability to services.
The new TIM maintains the breadth of the offer portfolio (which includes all fixed network and mobile services) and benefits from a sustainable financial structure that will enable it to develop innovative services, generate value, and play an active role in the expected market consolidation.
To learn more about the 2024-2026 Business Plan watch the presentation and consult the relative documents.
TOWARDS THE CUSTOMER PLATFORM
CONSOLIDATION OF ICT LEADERSHIP
GREAT OPPORTUNITIES FOR AN AGILE PLAYER
TIM: sale of NetCo to KKR completed
07/01/2024
TIM: NetCo closing set for 1 July
06/24/2024
TIM: positive EU Commission green light for the sale of NetCo to KKR, closing expected on schedule
05/30/2024
TIM: the Board Mandates the chief executive officer to negotiate a new offer for Sparkle with MEF
02/07/2024
TIM: offer for the purchase of Sparkle received from MEF
01/31/2024
TIM: Transaction agreement for Netco signed
11/06/2023
TIM: approved by the Board of Directors KKR’s offer on NetCo
11/05/2023
TIM: letter received from Merlyn Advisor and RN Capital Partners. The activities related to the offers received from KKR continue
10/28/2023
TIM: binding offer on NetCo received from KKR
10/16/2023
TIM: KKR granted extension to 15/10 for submission of binding offer on NetCo
09/27/2023
TIM: KKR requests extension to 15/10 for submission of binding offer on Netco
09/22/2023
TIM: examination of non-binding offers for Netco finalised, exclusivity period to KKR granted
06/22/2023
TIM: Board starts the analysis of the offers received for Netco, examination will end on Thursday 22 June
06/19/2023
TIM: two offers received as part of the competitive bidding process for the purchase of Netco
06/09/2023
TIM: Board of Directors analysed Netco offers, requests final proposal by 9 June
05/04/2023
TIM: two offers received as part of the competitive bidding process for the purchase of Netco
04/18/2023
TIM: competitive bidding process for the purchase of Netco approved by the Board of Directors, improved offers requested by 18 april
03/15/2023
TIM: Board examined KKR's offer, appreciated but improvement needed
02/24/2023
CDP Equity, KKR, Macquarie, Open Fiber and TIM: Memorandum of Understanding signed with the aim of integrating the networks of TIM and Open Fiber
05/29/2022
TIM: the Board of Directors has approved 2022-2024 Industrial Plan
03/02/2022