TIM receives €360 mn in EIB financing for 5G network Capex

TIM, the leading telecom operator in Italy, announced that it received €360 million in EIB financing with SACE guarantee for 5G network development.
TIM Brazil networkThe European Investment Bank (EIB) — partly assisted by a SACE guarantee — will support TIM in the development of the 5G network infrastructure in Italy with a €360 million loan, which will be used to finance the expansion of 5G coverage.

The EIB financing, 60 percent guaranteed by SACE, confirming the strategic nature of the investments, will enable TIM to expand 5G coverage across Italy by the end of 2025 using 700 MHz bands.

TIM Italy had an annual Capex of €3.207 billion in 2022 with capital intensity of 27 percent.

The financing will allow TIM Group to have access to a debt instrument on more favourable terms than those offered on the bond banking market.

The EIB has provided over €1 billion in financing for TIM projects between 2019 and 2023. These loans come under the EIB’s main areas of activity, namely developing and supporting the telecommunications network infrastructure, bridging the digital divide, meeting the targets of the Digital Agenda for Europe, and helping the EU’s most disadvantaged regions.

In 2022, SACE joined a pool of financial institutions under the Garanzia Italia framework to guarantee a €2 billion loan granted to TIM to support investment in Italy planned under the Group’s business plan.

The agreement was finalized by EIB Vice-President Gelsomina Vigliotti and TIM CEO Pietro Labriola, together with SACE Chief Business Officer Bernardo Attolico.