American Tower Announces Acquisition of Tower Sites

American Tower announced today that they have reached an agreement with NII Holdings, Inc. to acquire up to 2,790 towers in Brazil and 1,666 towers in Mexico in two separate transactions. The press release from American Tower reported that the two transactions were for $413 million and $398 million, respectively.

“The transaction agreements provide that all payments, including the tower rent, will be made in local currency. American Tower expects to use cash on hand and borrowings under its existing revolving credit facilities to fund the acquisition. American Tower expects the towers will collectively generate approximately $149 million in annual run rate revenues and approximately$55 million in annual Gross Margin,” American Tower’s press release states.

American Tower is a leading independent owner, operator and developer of wireless and broadcast communications real estate. American Tower currently owns and operates over 56,000 communications sites in the United States, Brazil, Chile, Colombia, Germany, Ghana, India, Mexico,Peru, South Africa and Uganda.