Telenet announced its deal to sells its telecom tower business to DigitalBridge for €745 million. The transaction values Telenet’s tower business at 25.1x EV/EBITDAal 2021.
The transaction include s 3,322 telecom towers across Belgium, including 2,158 owned sites, of which nearly 38 percent are towers, and 1,164 third-party sites. The tenancy ratio across the entire portfolio is 1.2x and 1.6x on towers specifically.
Telenet’s passive infrastructure business generated revenue of €61.2 million, Adjusted EBITDA of €55.1 million and Adjusted EBITDAal of €29.7 million for FY 2021.
Telenet will enter into a Master Lease Agreement with DigitalBridge, which includes an initial period of 15 years and two renewals of 10 years each. The agreement includes a commitment to deploy a minimum of 475 additional new sites with Telenet acting as a subcontractor to TowerCo, resulting in additional proceeds to Telenet over time.
The transaction is expected to close in the second quarter of 2022 and does not require any further regulatory approvals.
