Newly created Brazilian towerco BR Towers expects to agree another tower transaction before the end of the year.
PE firm GP Investments formed the towerco at the end of September after buying 2,000 towers from an unnamed operator, thought to be…
Newly created Brazilian towerco BR Towers expects to agree another tower transaction before the end of the year.
PE firm GP Investments formed the towerco at the end of September after buying 2,000 towers from an unnamed operator, thought to be Vivo.
In an interview with TelecomFinance, GP’s co-CEO Antonio Bonchristiano said that BR Towers was aiming to increase its tower holdings five fold to 10,000 sites going forward, and that it was in discussions with a number of parties, including operators, about acquiring more towers.
He said that one deal had a good chance of going through in Q4.
With regards to BR Tower’s recent transaction, Bonchristiano explained that roughly half of the US$250m spent came from debt financing, provided by the Brazilian arm of Santander. The other half came from GP Capital Partners V, a fund managed by GP.
There are currently 60,000 towers in Brazil but with the World Cup and Olympics coming up that number is set to rise to 80,000 by 2015 to meet demand.
