Bidders for cell towers from Vodafone and Spark are pending

Bidders for cell towers from Vodafone and Spark are pending

Tech Highlights:

  • A letter being sent to potential buyers is asking for their background and experience in running such assets, what they would be willing to pay for a stake of up to 70 percent, and their likely financing arrangements. The paper said a shortlist would be prepared from those indicating interest with binding bids being sought sometime in August. Spark would lease space on the more than 1200 towers for an initial 15 years with rights of renewal.

  • The sale of Vodafone and Spark’s cell phone towers is gaining up steam as the two corporations begin to line up bids. In recent days, mobile phone towers in England have been destroyed (file picture). Vodafone plans to solicit bids for its over 1,500 tower network within the next week or so. Photographer: citadelle/123RF According to the Australian Financial Review, both businesses are speeding up the sale of their respective tower networks in order to free up funds. Spark is anticipated to keep at least a 30% share in its telecommunications towers, with the remainder auctioned off in early June.

Meanwhile, Vodafone is set to call for bids for its near 1500 tower network in the next week or so, with the NZ Super Fund in partnership with the Ontario Teachers Pension Plan early on tipped as a potential bidder, with specialist infrastructure investment funds from the US and Australia also expected to be interested. The networks are said to be worth more than $1 billion apiece and are expected to attract strong interest, in line with the trend overseas which has seen high prices paid for similar assets. Industry observers have said the sale of the networks and the subsequent reinvestment of the funds back into new services and technologies could lead to cheaper prices in due course for consumers.

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