Sprint Nextel agreed to sell approximately 3,300 towers to TowerCo for approximately $670 million in cash. The specific number of towers and final purchase price will be determined at closing. The companies said the towers are located in prime metropolitan locations. The deal is expected to close in 90 days.
The two companies also signed a long term leasing agreement where TowerCo will provide Sprint Nextel with wireless communications towers to support the company's CDMA, iDEN and WiMAX networks.
"By leasing rather than owning these network facilities, we can better focus on our core business of providing communications services to consumers, businesses and government customers," said Bob Azzi, senior vice president, Field Engineering and Operations, Sprint Nextel. "Significantly, this transaction provides Sprint Nextel with additional liquidity which gives us greater flexibility in managing our company."
.http://www.sprint.comhttp://www.towerco.com
- TowerCo was founded in 2004 by Tailwind Capital and industry veterans Richard Byrne, Chief Executive Officer, and Scot Lloyd, Chief Operating Officer. Soros Strategic Partners invested in TowerCo in December 2005.
