Brazil's Oi Sells Towers to SBA for $645 Million
Published on: 4th Dec 2013
By: Ian Mansfield
USA based tower network owner SBA Communications says that it is buying just over two thousand towers from the Brazilian mobile network operator Oi for around USD645 million.
Upon closing of the transaction, Oi will enter into a long-term lease with SBA, with monthly lease payments, for antenna space on each of these sites. The sites currently have 1.6 tenants per site (including Oi) and include leases with all of the major wireless carriers in Brazil.
This transaction follows SBA's previously announced acquisition of use rights to 2,113 sites from Oi, which transaction closed November 26, 2013.
Upon consummating this transaction, SBA will own or have use rights with respect to over 5,000 sites in Brazil.
"We are very pleased to acquire these high quality assets and expand our relationship with Oi," commented Jeffrey A. Stoops, SBA's President and Chief Executive Officer. "These are very good sites, concentrated in the most populous areas of Brazil, with demonstrated attractiveness to tenants. With this acquisition, we will have established SBA as one of the largest and most capable independent tower operators in Brazil, a market which we believe is very attractive and will produce strong growth in the future."