Shares in Italian tower operator Inwit plunged to a 52-week low on Thursday after Swisscom disclosed plans involving its Italian subsidiaries and Telecom Italia to jointly develop competing tower infrastructure in Italy. The stock hit an intraday trough of 6.14, undercutting the prior floor of 7.22, and closed around 6.52 - a 20% decline from Wednesday's finish of 8.18.
The session opened at 7.34 and saw trading volume of 7.79 million shares, roughly 1.4 times Inwit's 20-day average. The company has now surrendered 37.5% from its 52-week high of 10.80, which was recorded on May 6, 2025.
Swisscom said that its Italian subsidiaries Fastweb and Vodafone Italy had signed a non-binding agreement with TIM to develop and operate up to 6,000 new tower sites in Italy through a 50/50 joint venture, with the intention of adding third-party investors. Construction will be carried out in phases over several years, Swisscom added, and all three operators plan to act as long-term anchor tenants.
The announcement reverberated through the market because, according to Jefferies analysts, TIM and Fastweb/Vodafone together make up roughly 80% of Inwit's revenues. In a note, Jefferies described the news as "negative for existing tower operators" and said it "indicates their customers are looking beyond their established MSAs to develop new site infrastructure in order to lower the overall cost of their portfolio." Jefferies maintained a "hold" rating on the stock with a price target of 8.
Jefferies also estimated the proposed joint venture would introduce about 10% additional supply to Italy's tower market, which it said currently totals approximately 55,000 sites. The analysts noted that Inwit and Cellnex each hold more than a 40% share of that market.
Cellnex, Europe's largest independent tower operator, also declined on the news, sliding 6.1% to close at 27.54 from a prior close of 29.32 - its lowest closing level since February 6. The stock's 52-week range runs from 24.77 to 35.95. Jefferies observed that Cellnex is less exposed to the move than Inwit because Italy represents only around 20% of Cellnex's group profits and its Italian anchor tenants are Wind Tre and Iliad rather than TIM or Fastweb/Vodafone.
Market context and immediate reaction
The joint venture plan fed immediate investor concern over customer concentration and the competitive dynamics in Italy's tower market. For Inwit, which derives the bulk of its revenues from contracts with TIM and Fastweb/Vodafone, the prospect of those operators developing new owned or JV-backed sites presents a direct threat to existing tenancy and pricing structures. For Cellnex, the impact appeared more muted in analyst commentary, reflected in a smaller share price move.
What to watch next
- Whether the non-binding agreement evolves into a firm commitment and the timetable for phased construction.
- Any announcements about third-party investors joining the proposed joint venture.
- Responses from Inwit and other tower operators regarding contract renewals or competitive measures.