Bisnis.com, JAKARTA- Vodafone sold telecommunications tower assets in New Zealand to an investment company for NZ$1.7 billion (US$1.1 billion).
Reported Bloomberg On Monday (7/18/2022), together with shareholders Infratil and Brookfield Asset Management, Vodafone’s passive telecommunications tower assets will be purchased by investors InfraRed Capital Partners and Northleaf Capital Partners.
InfraRed Capital and Northleaf Capital will create a joint venture TowerCo, which will each hold a 40% stake, while Infratil will reinvest and hold the remaining 20%.
Vodafone CEO Jason Paris said he was quite happy with the tower’s sale process as it received a lot of interest from investors.
“Infratil, InfraRed Capital Partners and Northleaf Capital are exceptional investors who share our vision for New Zealand and will help us accelerate the deployment of critical infrastructure for our customers,” Paris said in a statement in 2022).
Many telecom companies around the world are divesting their passive assets such as telecom towers and looking for strategic investors. Last week, Vodafone New Zealand competitor Spark announced the sale of a majority stake in its tower assets to Canadian pension fund Ontario Teachers’ Pension Plan Board for NZ$900 million.
Vodafone said that under the terms of the deal, which is subject to approval by the New Zealand Overseas Investment Board, TowerCo will sign a 20-year deal to provide access to existing and new towers.
TowerCo will also commit to building at least 390 additional towers over the next 10 years. The transaction is expected to close in the fourth quarter of 2022.
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