Valued at €1.22 billion ($1.3 billion) the deal supports stc group’s strategy to expand its international footprint into key markets with significant growth potential and marks Tawal’s first entry into Europe.
“Our agreement with United Group represents an exciting new chapter for TAWAL and the wider stc group. The agreement is a significant milestone in our ambitious growth strategy and the expansion of our international footprint," said Olayan Alwetaid, chief executive officer, stc group.
"We are already leading the transformation of Saudi Arabia’s digital capabilities and this transaction reinforces our commitment to investing in best-in-class technology and infrastructure to lead the way in enabling the world to connect.”
Once the acquisition is complete, Tawal will own and operate more than 4,800 sites across Bulgaria, Croatia, and Slovenia, delivering a suite of passive infrastructure services ranging from ground-based towers, rooftops small cells to in-building-solutions. Tawal’s operations in the European market will also be rebranded as Tawal Europe.
At the same time, United Group will ink a 20-year master services agreement with Tawal, which will see the deployment of over 2,000 additional sharable sites, while existing colocation relationships with other mobile network operators will be upheld.
“We are delighted to partner with United Group in our first investment in the European market," said Mohammed Alhakbani, Chief Executive Officer, Tawal.
"The partnership supports our goal to continue to provide innovative and efficient ICT infrastructure solutions to our partners and deliver the quality of services we are renowned for.”
At present, Tawal currently owns a portfolio of over 16,000 telecom towers and the deal is subject to regulatory approval from the relevant authorities in Bulgaria and Slovenia.
