Telefónica sells an America Tower Corporation for 9405 million dollars

The Spanish operator Telephony informs this market that your branch Telxius Telecom made an agreement with American Tower Corporation (ATC) to sell its telecommunications tower division in Europe (Spain and Germany) and in Latin America (Brazil, Peru, Chile and Argentina), for 7,700 million euros (9,405 million dollars).

A highly relevant link to the National Commission of the Market of Values (CNMV), the Spanish regulator, Telefónica explained that the agreement was reached, that it would be effective, establishment for sale a number of, approximately, 30,722 telecommunication tower replacements.

I understand the agreement Separate and Independent Transactions; for one part, the sale of Europe y, by other means, Latin America, and the operation of both operations will be launched one by one to obtain the corresponding authorizations by the regulators.

The agreement exemplifies the maintenance of the current contract contracts of the towers and including the Employee Conservation by American Towers Corporation.

And a comunicado, the president of Telefónica, José María Álvarez-Pallete, destaco that the operation has strategic sense inside the group road window.

“American Towers was our second provider through Telxius”, assured Álvarez-Pallete, for whom, through this major operation, the group will be centered on its objectives “More ambitious” what is the integration of O2 with Virgin in the United Kingdom, the purchase of the mobile assets of Oi in Brazil and the reduction of the debt.

During this operation, American Tower was located in the first telephony provider in Europe as well as in Latin America, and maintains its socio-strategic conditions in strategic projects in Brazil, Argentina and Colombia.

The attribution attributable to Telephony is estimated to be ascending, approximately, to 3,500 million euros (4,275 million dollars).

Once the operation, the net financial debt of the Telephony Group has been completed will reduce approximately by 4,600 million euros (5,618 million by dollars) and the appraisal ratio by approximately 0.3 times.

This operation is based on the strategy of the Telephony Group, which exemplifies, among other objectives, a policy active management of charters of its negotiations and assets, based on the creation of value and acceleration, at the same time, the reduction of organic debt.

With EFE information