MANILA — Globe Telecom on Tuesday said the price for the planned sale and leaseback deal for its portfolio of 5,709 towers and related passive infrastructure was estimated at P71 billion.
Globe signed agreements with MIESCOR Infrastructure Development Corp and Frontier Tower Associates Philippines Inc for the tower assets for approximately P71 billion, it said in a disclosure to the stock exchange.
Meralco subsidiary MIESCOR will purchase 2,180 towers for P26 billion while Frontier Tower Associates Philippines Inc will buy 3,529 towers for P45 billion, Globe said.
The 2 asset portfolio is part of Globe's 7,059 towers towers for sale. Globe said it is still in discussion for the buyer of the third asset portfolio.
"The transaction will result in availability of funds from Globe to support future capital expenditures, debt repayments and debt avoidance with the expectation to improve the balance sheet health of the company," it said.
There will be multiple closing dates which will happen when conditions are met, the company said. First close is expected in the third quarter of 2022, it added.
The telco earlier said it would sell over 7,000 ground based and roof top towers to 3 common tower companies.
Once completed and if the total selling price exceeds PLDT Inc's sale and leaseback deal worth P77 billion, Globe's tower asset sale consisting of a total of 7,059 towers could be the biggest deal of its kind in the country.