US towers company American Tower has agreed to buy the tower assets of South African mobile operator Cell C for some US$430m.
The two companies announced that the definitive agreement would comprise up to 1400 of Cell C’s existing towers and up to 1800…
US towers company American Tower has agreed to buy the tower assets of South African mobile operator Cell C for some US$430m.
The two companies announced that the definitive agreement would comprise up to 1400 of Cell C’s existing towers and up to 1800 additional towers that are under construction or set to be built over the next 2-3 years.
Cell C will be the anchor tenant on each tower purchased. The sale of the existing towers is expected to close by early 2011, subject to customary closing conditions.
“We are pleased to announce the launch of our operations in South Africa, as well as the opportunity to work with Cell C,” said Jim Taiclet, Chairman, President and CEO of American Tower. “We believe South Africa provides a compelling investment opportunity for us, with strong demand for voice and advanced wireless data services. In addition, our newly established presence in South Africa will provide us with a platform for our future growth in the region.”
Lars Reichelt, CEO of Cell C commented, “This is an important strategic transaction for Cell C, allowing us to realize the value embedded in our passive infrastructure, which has undergone a significant transformation over the past few years. We believe our relationship with American Tower will enable us to further enhance the quality and coverage of our network.”
