Swisscom said on Thursday that it has completed its acquisition of competitor Vodafone Italia, which it will now begin merging with its Italian business Fastweb.

Swisscom lowered its core earnings guidance after the deal to merge its Italian subsidiary Fastweb and Vodafone’s operations closed on Dec. 31.

The Italian Competition Authority approved Swiss carrier Swisscom’s acquisition of Vodafone Italia, contingent on specific behavioral commitments, the latter said in a release. Swisscom aims to merge Vodafone Italia with Italian telco Fastweb, Swisscom’s subsidiary in Italy.

Swiss telco Swisscom has completed its acquisition of Vodafone Italia in a move set to reshape the competitive landscape of Italy’s telecoms sector. The deal, valued at €8 billion, was finalised on December 31 following approval from Italian regulators earlier in the month.

Vodafone Group finalised the sale of its Italian unit to Swisscom, the second major deal concluded which reshape its Europe operations.

Vodafone completes £6.6bn deal to offload Italian arm - The mobile phone giant last month saw its £15 billion mega-merger with Three UK given the green light by Britain’s competition regulator.

British telecommunications giant Vodafone on Thursday said it has completed the sale of its Italian operations to Swiss telecom firm Swisscom for €8 billion ($8.3 billion). The proceeds from the sale will be used to reduce Vodafone Group net debt and the Board will target to return up to €2 billion to shareholders,