American Tower To Acquire Eaton Towers For $1.85 Bn

American Tower has announced its intent to buy Eaton Towers Holding which owns and operates approximately 5,500 sites across five African markets. The total consideration for the transaction, including Eaton Towers debt, is approximately $1.85 billion, the company said in a SEC filing.

As a result of the transaction, the Company also expects to accelerate new build activity across the region due to expanded relationships with multiple key tenants. , subject to customary closing adjustments.

Jim Taiclet, American Tower’s Chief Executive Officer stated, “This transaction will significantly augment our existing footprint in Africa and positions ATC to take even better advantage of the growth opportunity in the region as 4G mobile data technology is deployed to serve millions of Africans over the coming years.”

The assets are expected to generate approximately $260 million in property revenue and approximately $165 million in gross margin, at current exchange rates, in their first full year in American Tower’s portfolio. The transaction is anticipated to be immediately accretive to Consolidated AFFO per Share and is expected to close by the end of 2019, subject to customary closing conditions and regulatory approvals.

In 2014 and 2015, India’s Bharti Airtel had sold its telecom towers in Africa to multiple tower operators including Eaton Towers.

Also Read

Leave a Reply

 
%d bloggers like this: