A consortium led by Macquarie Infrastructure Partners and Macquarie Communications Infrastructure Group have agreed to acquire leading US wireless tower operator Global Tower Partners from
A consortium led by Macquarie Infrastructure Partners and Macquarie Communications Infrastructure Group have agreed to acquire leading US wireless tower operator Global Tower Partners from the Blackstone Group for an enterprise value of USD1.42bn.
Based in Boca Raton, Florida, Global Tower Partners is a leading owner and operator of towers and sites for wireless communications services, with a portfolio of some 2,500 towers and more than 4,600 rooftop sites in urban, suburban and corridor locations across 48 US states and Puerto Rico. Most of GTP’s revenue base is from long-term contracts with major wireless operators, including AT&T, Sprint-Nextel, T-Mobile and Verizon Wireless.
‘Wireless communications towers demonstrate the fundamental features important in an infrastructure asset,’ says Christopher Leslie, chief executive of Macquarie Infrastructure Partners. ‘Their use is an essential part of the communities they serve, they enjoy a privileged market position and generate stable, predictable and growing revenues over the long term.
‘GTP is a high quality and growing business that displays what we seek in an infrastructure investment, while at the same time providing a proven source of consistent growth in cash flow.
‘The strong existing GTP management team has driven the growth of the business with a disciplined approach to acquisitions and the construction of new towers in strategic locations. We are looking forward to working with this capable and experienced team, to continue to facilitate high-quality wireless communications services to an increasing group of users across the US.’
Macquarie Communications Infrastructure Group chief executive Scott Davies says: ‘Through this acquisition we have gained a timely position in a familiar industry in the attractive US market. GTP complements and leverages our existing wireless industry knowledge and expands and diversifies our existing North American asset base, alongside Arqiva’s satellite dish facilities in Los Angeles, Washington and New York.’
Says Marc C. Ganzi, founder and chief executive of Global Tower Partners: ‘We are very excited about the prospects of our new partnership with Macquarie, as their demonstrated track record of successful wireless infrastructure investments around the globe will assist GTP in the execution of our long term business plan. The support and stewardship of Blackstone Group over the past two years has helped the company evolve from a middle-market tower company to a recognised leader within our sector.’
The acquisition will be funded by a combination of equity as well as existing and newly issued debt. Macquarie Securities was financial advisor and Weil, Gotshal & Manges and Spradley & Riesmeyer acted as legal counsel to the consortium. Blackstone Advisory Services and Morgan Stanley acted as financial advisors and Simpson Thacher & Bartlett acted as legal counsel to Blackstone.
Established in May 2006 in New York, Macquarie Infrastructure Partners is a diversified unlisted fund focusing on infrastructure and similar investments in North America with investors including public and corporate pension funds, insurance companies, endowments and foundations. The fund currently has eight investments including a majority stake in New England water utility Aquarion, a minority stake in Pittsburgh electric utility Duquesne Light, two Canadian port terminals and interests in four US toll roads.
