Cell Tower Info was created in 2005 and has recently been updated with a new skin, new features and more information for clients and cell tower landlords.
We compiled a comparison of the three most recent wireless carrier tower company deals. It is important to note that these numbers aren’t exact. For example, the Tower Cash Flow for Verizon/American Tower are projections from the first year of operation. On the AT&T/Crown transaction, the number of towers is rounded off. Lastly, some like the Verizon/AMT transaction don’t include the net present value of the options to acquire these towers in the future. [Read more…]
WHY VERIZON’S TOWER SALE WILL SET THE MARKET
Verizon has hired an investment bank to assist it with the possible sale of its tower assets. Macquarie Securities analyst Kevin Smithen estimates that there are 12,500 towers that might be part of the offering. We suspect that the actual number will be smaller than that but still above 10,000. Previous sales of communication towers for AT&T and T-Mobile yielded sizeable funds for each company and Verizon has suggested that the AT&T tower transaction opened their eyes. We suspect that the answer is actually that Verizon wisely waited to be the last major carrier to sell their portfolio of towers and we believe that Verizon should see a better price per tower than either T-Mobile or AT&T did. Verizon has suggested they want the deal done by the end of the year. [Read more…]
Crown Castle (CCI) is the largest of the Big Three U.S. tower companies, and currently owns 40K towers nationwide (followed by American Tower with ~28K and SBA with 15K). In September 2012, CCI bought 7,200 cell towers from T-Mobile, and in October 2013 it purchased 9,700 from AT&T. CCI spokesperson says the company is now open to buying 6K towers from Verizon, which would be a $3B acquisition. [Read more…]
While we had heard about this previously, the news was not public until yesterday. Reuters is reporting that MacQuarie has put Global Tower Partners up for sale. Global Tower Partners owns 6,400 towers and manages or leases another 9,600 properties across the US. Some of these properties are not active cell site locations, they are just large property owners who signed up with Global Tower Partners to market their sites. Others are active cell sites, but ones where Global Tower Partners only owns the rights to the ground lease, not the towers.
It appears that the subprime issues will have an impact on the wireless/tower sector particularly regarding cell phone tower acquisitions and cell phone tower lease buyouts– especially for the mom and pop side of the industry. We suspect that 1/4 to 1/3 of the new tower being built this year come from Mom Pop tower companies or individuals. [Read more…]
Global Tower Partners announced their acquisition to a consortium led by Macquarie Infrastructure Partners and Macquarie Communications Infrastructure Group. A quick search for Macquarie finds that they created the entities last year to fund investments in infrastructure. [Read more…]
9/23/15 Update: Number of Cell Towers Owner per Carrier
It’s been almost a decade since we’ve updated this blog post (although we do keep our website up to date, and send out regular Cell Tower and Wireless Industry Newsletters on pertinent and timely developments in the network infrastructure industry). [Read more…]
Global Signal recently purchased through a long term lease 6000+ cell phone towers from Sprint PCS. In response to these transactions, Global Signal has approached landowners requesting that they sell out the interest in the ground lease for the cell phone tower to Global Signal in return for a lump sum payment and a assignment of lease. [Read more…]
In recent weeks, we have heard evidence that the market for existing tower portfolios is red hot. Towers are bought and sold on the basis of a multiple of annual net cash flow. The multiples on recent deals for cell towers have been steadily increasing and are approaching rates that are significantly higher than those seen in the last four years. [Read more…]