25.3 C
Philippines
Monday, February 26, 2024

7:57 AM

25.3 C
Philippines
Monday, February 26, 2024

7:57 AM

Globe marks largest ever tower sale and leaseback deal

DAVAO CITY – Globe has already completed the sale of the 1,501 out of 7,059 towers or 21% of the total towers being monetized as part of this historic initiative.

Globe announced last September 23, 2022, that it has achieved the first closing with 800 towers out of the 3,529 towers to be acquired by Frontier Tower Associates Philippines Inc. (Frontier Towers) for a cash consideration of ₱10 billion. This deal was accomplished after just over a month from the signing of the milestone sale and leaseback transactions for the first two tower portfolios last August.

On the same date, Globe announced the signing of the sale and leaseback agreement with Phil-Tower Consortium, Inc. (PhilTower) for the third portfolio composed of 1,350 towers. The tower assets up for sale consist of 90% ground-based towers and 10% rooftop towers.

Globe expects to raise total proceeds of ₱20.0 billion from executing this transaction.

The towers, which are located primarily in Visayas and Mindanao, will be leased back to Globe for an initial period of 15 years. On October 14, 2022, disclosed the first closing with 701 towers out of the 2,180 telco tower and related passive telecom infrastructure to be acquired by MIESCOR Infrastructure Development Corporation (MIDC) for a cash consideration of ₱8.4 billion. (GIOVANNI A. FLAVIANO)