CrownCastle Paying T-Mobile $2.4 Billion In Cash For 7,200 Cell Phone Towers
Crown Castle is a major wireless tower operator company that has agreed to pay T-Mobile $2.4 billion in cash for 7,200 cell phone towers. Crown Castle will lease the towers for around 28 years. After that they will have the option to purchase the assets from T-Mobile.
“We are pleased to reach this mutually beneficial agreement with CrownCastle,” stated T-Mobile USA head John Legere, . “T-Mobile USA is working aggressively to make our 4G network stronger, faster and more dependable for consumers, and this transaction will support our ongoing $4 billion network modernization initiative that is the cornerstone of this effort.”
This deal is expected to close in Q4 of this year. CrownCastle’s network of towers will increase by a third. The transaction will be financed with cash and debt.
[NYT]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry