DigitalBridge to acquire majority stake in Vertical Bridge
DigitalBridge Group (DigitalBridge) through its subsidary DigitalBridge Investment Management, is to acquire a majority stake in Vertical Bridge for an undisclosed sum.
Under the definitive agreement, DigitalBridge Investment Management, the company’s investment management platform, will acquire a controlling interest in the largest private owner and operator of wireless communications infrastructure in the US.
“Vertical Bridge is the leading independent tower platform in the US, led by the preeminent tower management team in the industry,” said Steven Sonnenstein (pictured), senior managing director of DigitalBridge Investment Management.
“Significant acceleration in 5G infrastructure spending in the US has created a tremendous long-term growth opportunity for telecommunications infrastructure and demonstrated that investments to support the next generation of mobility continue to be a powerful thematic.
By consolidating Vertical Bridge’s ownership via our fund management business, we will not only extend our long-standing relationship, but we will be even better positioned to support the Vertical Bridge team as they build on their market leadership and capitalise on exciting growth opportunities.”
Founded in 2014, Vertical Bridge's portfolio is made up of 308,000 owned or master-leased sites, including over 8,000 towers across the US.
The business is positioned to continue scaling rapidly, capitalizing on tower market growth opportunities driven by enhanced data consumption, 5G digital services and digital infrastructure in support of IoT.
“We have experienced significant, industry-leading growth at Vertical Bridge since our inception, scaling our platform to meet the evolving needs of our customers,” said Alex Gellman, chief executive officer of Vertical Bridge.
“This financial commitment not only positions Vertical Bridge to meet the rising demand for infrastructure solutions in light of new technologies, but also accelerates the substantial organic and inorganic growth opportunities available to us in this dynamic market.
We look forward to continuing to work with the DigitalBridge team as we expand our asset portfolio to become a stronger and more agile partner serving the US wireless and broadcast markets.”
The transaction is due to close by the fourth quarter of 2021, subject to regulatory approvals.