Globe Telecom Inc. said Monday it has signed the sale and leaseback agreement with Unity Digital Infrastructure, a partnership between Aboitiz InfraCapital and Partners Group for the sale of 447 towers.
It said the tower assets consist of 84 percent ground-based towers and 16 percent rooftop towers. The sale comes with a commitment to build over 200 towers across Visayas and Mindanao.
Globe expects to raise total proceeds of P5.4 billion from executing this transaction. The first close for the portfolio in expected during the third quarter.
The pre-tax net transaction gain is estimated at P1.8 billion.
The towers, which are all located in Luzon, will be leased back to Globe for an initial period of 15 years.
“Signing this agreement with Unity is consistent with our endeavor to promote capital efficiency and prudence in our transactions. We keep our shareholders and customers’ welfare in mind by finding the right balance of funding sources and transformational projects designed to steer the company towards the digital forefront.”
Rizza Maniego-Eala, Globe’s chief finance officer
The sale to Unity brings Globe’s total tower sold from 7,059 towers to 7,506 towers and the expected proceeds will be used to finance capital expenditures and maturing debt.
Sabin Aboitiz, president and chief executive officer of Aboitiz Equity Ventures Inc., said the Globe tower dovetails with the group’s strategy of “positioning ourselves as leaders in digital infrastructure” and “brings us a step closer to our vision of becoming the Philippines’ first Techglomerate.”
