Integrated telco PLDT Inc announced on Friday that their subsidiaries Smart Communications and Digitel Mobile Phils had signed a deal for the sale and leaseback involving 1,012 towers amounting to P12.1 billion.
According to their disclosure to the Philippine Stock Exchange, PLDT said that the signed the sale and leaseback deal was done with Frontier Tower Associates Philippines Inc. It is a subsidiary of Pinnacle Towers Pte Ltd.
The disclosure also said that the transaction now brings the total number of towers monetized via sale and leaseback to over 7,500. This amounts to more than P98 billion.
“This transaction cements our relationship with one of the largest independent tower companies in the country, providing the Group with another important partner to support our expansion, while unlocking additional value,” PLDT Chairman Manuel V. Pangilinan was quoted as saying.
This meant that when the transaction is completed, Smart will now lease back the towers for 10 years at competitive terms as the anchor tenant.
There will be a commitment of 500 new points for Smart complemented the deal, that will then enable them to expand further.
Catherine R. Cueto
