Telecom Italia (TIM) has sold its remaining stake in tower operator Infrastructure Wireless Italiane (Inwit) for €250 million ($273m) to French private equity firm Ardian SAS.

TIM said it had struck a deal to see its remaining 10 percent stake in Daphne 3, a holding company for Inwit, which owns 29.9 percent of Inwit.

The sale announcement follows reports earlier this year that the telco was looking to sell its stake in the tower unit.

TIM noted that the agreement is based on a valuation of Inwit's share price of €10.43 ($11.39).

The transaction is expected to close during the fourth quarter of this year.

Ardian already owned 90 percent of the holding company, after acquiring a 41 percent stake from TIM in 2022 for €1.3 billion ($1.42bn).

In June, TIM completed the long-awaited sale of its fixed line network, NetCo, to US investment firm KKR, in a deal that could be worth as much as €22bn ($24bn) with earn-out payments.

Debt-ridden TIM said it expects the sale to reduce its debt by €14bn ($15.25bn).