Telecom Italia was tipped to be close to finalising another debt-reduction step with a deal to sell a stake in its tower joint venture Inwit to a consortium led by Ardian Infrastructure, Reuters reported.

Sources told the news agency a deal could be finalised next week and close either later this month or early July. Telecom Italia and the Ardian Infrastructure-led consortium commenced talks in May.

The planned deal would involve Telecom Italia transferring its 33.2 per cent Inwit stake to a holding company, with a stake in this business then sold. Reuters stated the transaction could bring the operator’s debt down by €4 billion to €17.7 billion.

Telecom Italia and Vodafone Italy were left with a 37.5 per cent stake apiece in Inwit following the completion of a merger in March. They subsequently sold around 4 per cent of their respective holdings for a total of €800 million, with Telecom Italia putting its share towards reducing debt.