Cellnex agreed a deal to sell a 49 per cent stake in its Sweden and Denmark subsidiaries to infrastructure-focused investor Stonepeak for €730 million, in line with an ongoing strategy to cut debt.

CEO at Cellnex Marco Patuano stated the sale is expected to bring the company closer to achieving investment-grade ratings, while the proposed divestment marks the executive’s first since he assumed the role in June.

Stonepeak will pay €558 million upfront, plus €130 million three years after closing the deal, and a €40 million earn-out expected in 2026.

The tower company explained the agreement with Stonepeak is in line with objectives set in November 2022 to reduce debt and place more attention to organic growth, after it bought 130,000 European towers over the last few years.

Cellnex operates a total of 4,557 sites across Sweden and Denmark and it has also committed to build and operate approximately 2,500 additional sites in the countries.

The deal with Stonepeak is subject to regulatory approval and is expected to complete in Q1 2024. Cellnex will continue to manage the day-to-day business of the operations.