Tower specialist Cellnex set up further expansion of its European footprint through an agreement with Iliad to acquire a 60 per cent stake in a new company which will operate 7,000 sites owned by Polish operator Play.
Cellnex stated the deal was dependent on Iliad’s proposed acquisition of Play, which it announced in September.
The European Commission is expected to issue a decision on Iliad’s move for Play on 26 October, either clearing the deal with or without concessions, or opening a four month investigation if it has deeper concerns.
Cellnex explained its deal with Iliad was in line with a model the pair established in France, where it manages sites for operator Free.
It will invest €800 million in the new Polish company: Iliad will own the remaining 40 per cent and the deal is expected to close by Q2 2021.
The new Polish tower company earmarked a possible investment of up to €1.3 billion over the next ten years, rolling out 5,000 new sites, added Cellnex.
For Cellnex, the deal deepens its footprint in Europe after an intense period of investment in the continent. It said it would manage 73,000 sites in total, should the deal with Iliad go through.
Cellnex chairman Franco Bernabe added that as its network continues to grow, it allows the company “to present ourselves as a natural partner of choice for European mobile operators”, covering 4G and 5G rollouts.Subscribe to our daily newsletter Back