In a LinkedIn post, Mario Martin, CEO of Telxius thanked the Telxius Towers team for a “fantastic journey” praising the work it took to doubled our portfolio to reach over 34,000 sites over the last five years. He ended in giving credit to “the sensational efforts of an outstanding team without whom none of this would have been possible”.
Announced back in January 2021, the entire deal valued at €7.7 billion deal (US$9.4 billion) will see American Tower secure Telxius' 31,000 tower sites and also pave the way for American Tower to spend around $500 million constructing a "committed pipeline" of 3,300 new sites in Germany and Brazil by 2025.
This first tranche is comprised of nearly 20,000 communications sites in Germany and Spain, for total consideration of approximately €6.2 billion (approximately $7.6 billion). The transaction was funded by a combination of cash and borrowings under the Company’s revolving credit facilities and term loans.
“We are excited to close on these high-quality, well-located assets and are ready to quickly and efficiently integrate them into our existing European portfolio. We expect to utilise our newly augmented leadership position in Germany and Spain to drive strong, sustainable, long-term growth while delivering best-in-class service to existing and new tenants as they enhance mobile broadband connectivity for their customers,” said Tom Bartlett (pictured), CEO of American Tower.
“As one of the largest independent communications infrastructure providers in Europe, we believe we are now optimally positioned to benefit from accelerating 5G deployments across the region through a combination of organic growth, new builds and the potential for selective future acquisitions.”
American Tower expects this first tranche of assets to generate approximately $280 million in property revenue and approximately $145 million in gross margin for the balance of 2021.
A further 4,000 additional rooftop communications sites in Germany are expected to close in the third quarter of 2021.
