Fastweb Shows Interest in Swisscom Buyout Offer

Press Release - March 13, 2007

Italian broadband provider, Fastweb SpA, has expressed serious interest in a recent €3.7 billion ($4.9 billion) buyout offer from Swisscom AG.

The company highlighted Swisscom’s “friendliness” in making the offer and said that it sees “good development opportunities” coming out of such a deal. In the meantime, Fastweb has appointed Deutsche Bank and Unicredito Italiano as financial advisors for the upcoming negotiations.

Silvio Scaglia, the founder and chairman of Fastweb, has already agreed to sell his 18.75% stake in the company to Swisscom, except in the event of a higher competing offer. If and when the deal goes through, Scaglia will remain a member of Fastweb’s board.

Swisscom is offering a price of €47/share for the Italian ISP, conditional on its ability to obtain a controlling share (50%+) in the company.