[cellular news] Millicom International Cellular has announced the sale of up to 2,126 towers owned by its Colombian subsidiary, Colombia Móvil to American Tower for US$182 million in cash.
Through a Millicom subsidiary, Millicom and Colombia Móvil's other shareholders will have an option to acquire an indirect, substantial minority equity interest in the Columbian holding company being set up by American Tower to handle the sale, ATC Infraco.
Further, to support Colombia Móvil's wireless network and future deployment plans, Colombia Móvil and ATC Infraco will enter into a long term leasing agreement and build-to-suit agreement, whereby ATC Infraco will provide Colombia Móvil with wireless communications towers. The transaction is expected to create savings in both capital and operating expenditures for Colombia Móvil.
The towers are expected to be transferred in a series of closings beginning during the fourth quarter of 2011, subject to customary closing conditions.
Millicom Sells Columbian Towers to American Tower