Bharti Airtel to sell 1,350 towers to American Tower
22 March 2016 |
Bharti Airtel has signed an agreement with American Tower to sell approximately 1,350 towers in Tanzania.
Under the agreement, American Tower may also acquire up to approximately 100 additional sites presently in development. The operator will be the anchor tenant on the portfolio under a lease with a 10-year initial term.
“The proposed transaction is a continuation of our stated philosophy of divesting passive infrastructure assets and promoting sharing of towers to enhance operational efficiencies that will further the overall growth of telecom services,” said Christian de Faria, MD& CEO of Bharti Airtel Africa.
The deal will enable Airtel to focus on its core business and customers as well as reduce debt and ongoing capital expenditure on passive infrastructure. The transaction is expected to be completed in the first half of 2016, subject to regulatory approval.