Trilogy International Partners (TIP) has announced that its Bolivian subsidiary, NuevaTel (trading as Viva), has entered into a definitive agreement to sell approximately 600 cell towers to a Bolivian subsidiary of Phoenix Tower International (PTI). As a result of the transaction, NuevaTel anticipates that it will receive approximately USD100 million in cash. Additionally, the two companies have entered into a multi-year agreement whereby PTI will provide the cellco with access to certain wireless communication towers to support its network rollout plans. The transaction will close in stages after all relevant conditions have been satisfied. The first closings are expected to take place in mid-February and are expected to include approximately 400 towers and result in a cash consideration of approximately USD65 million.
Brad Horwitz, President and CEO of Trilogy, commented: ‘We are pleased with this transaction which enhances our capital efficiency while aligning with strong partners at PTI. We continue to look at a number of strategic and operational alternatives in Bolivia and will remain opportunistic as it relates to maximising shareholder value.’