IHS Towers agreed to acquire 2,115 telecommunication towers across Brazil from São Paulo Cinco Locação de Torres Ltda. (SP5), a Grupo Torresur (“GTS”) portfolio company. The acquisition is expected to deliver Revenue and Adjusted EBITDA of approximately US$38 million and US$36 million, respectively, in the first full year following closing (based on a current exchange rate). The purchase price of the transaction, on a cash and debt free basis, is US$315 million.
Sam Darwish, IHS Towers Chairman and CEO, commented “The acquisition of GTS’ SP5 portfolio will be our fifth transaction since we entered the region two years ago and is a testament to our continued commitment to serving the connectivity demands of Latin America. In the SP5 portfolio there are 2,115 sites strategically located across Brazil, increasing the attractiveness of IHS’ portfolio to our customers whether in Brazil or across our Latam operations.”
Jimmy Eisenstein, GTS Chairman and CEO, said “The sale of our SP5 portfolio represents the culmination of our strategy to create an important infrastructure business focusing on historically under-served regions of Brazil. Since our acquisition, our team has driven strong organic revenue growth, proving the critical role of SP5 to the market and resulting in an excellent return for our investors.”
