American Tower Closes Initial Purchase of Cell C Towers in South Africa
As originally reported last November, American Tower has now, through its local South African subsidiary, acquired approximately 960 existing towers from South African mobile network operator, Cell C for an aggregate purchase price of approximately US$140 million, using cash on hand, local financing, and funds contributed by South African investors who currently hold an approximate 25% minority stake in the subsidiary.
American Tower expects to acquire from Cell C approximately 440 additional existing towers during 2011 for an aggregate purchase price of approximately US$60 million, subject to customary closing conditions.
American Tower may acquire up to an additional 1,800 towers that are either currently under construction or will be constructed over the next two to three years for an additional aggregate purchase price of up to approximately US$230 million. Cell C will be the anchor tenant on each of the towers being purchased.