TMCnet News
American Tower and Millicom International Cellular partner to sell 2,126 towers in ColombiaJul 19, 2011 (TELECOMWORLDWIRE via COMTEX) -- American Tower Corporation (NYSE:AMT) and telecommunications group Millicom International Cellular S.A (Stockholmsborsen: MIC) announced on Friday that Millicom's subsidiary, Colombia Movil S.A. E.S.P , has agreed to sell up to 2,126 towers to a to-be-formed Colombian subsidiary of American Tower, ATC Infraco, for USD182m in cash. Also, through a Millicom subsidiary, Millicom and Colombia Movil's other shareholders will have an option to acquire an indirect, substantial minority equity interest in ATC Infraco. In addition, to support Colombia Movil's wireless network and future deployment plans, Colombia Movil and ATC Infraco will enter into a long term leasing agreement and build-to-suit agreement, under which ATC Infraco will provide Colombia Movil with wireless communications towers. The transaction, financial details of which were not available, is expected to create savings in both capital and operating expenditures for Colombia Movil. The towers are expected to be transferred in a series of closings, beginning during the fourth quarter of 2011, subject to customary closing conditions. American Tower is an independent owner, operator and developer of broadcast and wireless communications sites. Comments on this story may be sent to [email protected] |