Optus to sell 70% stake in tower unit to AustralianSuper for AUD1.9bn

1 Oct 2021

Optus has announced that its parent company, Singtel Group, has entered into an agreement to sell a 70% stake in Australia Tower Network (ATN), a wholly-owned subsidiary which operates the Australian cellco’s passive telecommunications tower infrastructure, to AustralianSuper. In a press release regarding the matter it was noted that the transaction – involving what it claimed to be Australia’s largest independent tower company and comprising 2,312 mobile network towers and rooftop sites – values ATN at approximately AUD2.3 billion (USD1.7 billion). Singtel expects net cash proceeds after transaction costs of approximately AUD1.9 billion and completion is expected by the end of this month, subject to the fulfilment of certain conditions precedent.

Under the terms of the deal, Optus will have continued access to the sites through a long-term lease agreement with ATN and will reportedly serve as the anchor tenant for 565 new BTS sites to be built over the next three years forming an integral part of Optus’ 5G network.

Commenting, Optus CEO Kelly Bayer Rosmarin said: ‘The sale of these assets positions Optus well for the future as it provides capital to support core business growth while importantly allowing us to maintain the competitive advantage of our network’s active elements which continue to top independent reports on speed and quality of our network.’

Australia, Optus, Optus Mobile, Singtel Group