Brazil Tower Company secures $79m of funding to double portfolio

24 April 2018 | James Pearce

Neutral tower provider Brazil Tower Company (BTC) has closed on $79 million of a $104 million long-term debt financing, which it plans to use to boost its tower portfolio.

Cell towerBTC already owns around 600 wireless towers in its portfolio, but it plans to double this number to 1,200 using the funding, which was secured from three international lenders led by Cordiant Capital of Montreal, Canada.

Wisteria Court, an emerging markets focused boutique investment bank in New York, advised BTC on the transaction, BTC said.

BTC, who counts the likes of Telefonica, TIM, and Claro amongst its customer base, said it expects to close on the remaining $25 million of financing by Q3 of 2018.

“We are very excited about the growth we are realizing in Brazil through new tower development and new collocations and amendments. Our backlog of new towers and pipeline for growth is the strongest we have seen since 2015,” said Tom Staz, BTC’s CFO and a partner at 1848 Capital Partners in Miami, BTC’s primary equity sponsor. 

“With the support of our new debt facility and a large inventory of customer orders, we will continue to strategically rollout new tower sites over the next 18 – 24 months to double the size of our tower portfolio and triple the cash flows of the business.”

"BTC is very disciplined in its approach to new site selection.  We focus on highly trafficked and defensible tower locations that will benefit from strong double-digit organic growth," added BTC CEO Chahram Zolfaghari.  "We have achieved consistent year-over-year growth in asset count and cash flow and look forward to accelerating that growth with our new round of financing.