Maybe OTPP might be the buyer there as well ?
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Wow - Vodafone sells tower business for $1.7 Billion. Infratil takes a 20% stake in the new tower company.
So for Infratil with its 50% ownership in Vodafone: it collects $850 million from the sale, and reinvests $340 million into the tower co.
https://www.nzx.com/announcements/395458
Vodafone to sell passive tower assets and IFT reinvestment - NZX, New Zealand’s Exchange
Vodafone to sell its passive mobile tower assets alongside Infratil reinvestment
Vodafone New Zealand Limited (‘Vodafone NZ’), together with shareholders Infratil Limited (‘Infratil’) and Brookfield Asset Management Inc. (‘Brookfield’), announce the sale of Vodafone NZ’s passive mobile tower assets for $1,700 million to funds managed, or advised, by leading global investors InfraRed Capital Partners (40%) and Northleaf Capital Partners (40%). This represents a FY2023 pro-forma EBITDA multiple of 33.8x [1].
As part of the transaction, Infratil will reinvest to hold 20% in the new TowerCo.
I like this bit too....
"and a commitment from TowerCo to build at least 390 additional sites over the next ten years to enhance Vodafone’s relative coverage and capacity position.
Vodafone will continue to own the active parts of its network, including the radio access equipment and spectrum assets, maintaining an industry leading mobile coverage and network position."
"No incentive fees are payable to Infratil’s manager Morrison & Co in relation to the investments in
Vodafone NZ or Aotearoa Towers Group LP."
What's not to like ?
I was thinking more in terms of of the Vodafone NZ board rather than the Infratil board. I imagine there are watertight contracts reserving space on those towers for Vodafone for 15 years, with another 15 year option for renewal (like the Spark deal). But I just thought Spark retaining 30% of 'their' tower company, while Vodafone sold out completely, was an interesting contrast. While major Vodafone NZ shareholder Infratil maintains a blocking stake in 'their' Towerco, then I guess it doesn't matter. But I wonder what happens after Infratil's rumoured eventual sell down of their shareholding in Vodafone NZ?
SNOOPY
I feel there are always other games at play. I am assuming that Vodafone directors are allowed to act independently, but with a transaction of this nature would have needed the approval of both Infratil and Brookfield. I am certain that this transaction would have happened for a reason. Who knows what the reason is but we are only seeing pieces of the puzzle.
Infratil announces new capital and co-investor for Longroad Energy:
http://nzx-prod-s7fsd7f98s.s3-websit...170/375625.pdf
“The transaction implies a pre-money valuation for Longroad of US$2,000 million. “
“At completion of the transaction, Infratil will have invested a net US$112 million in Longroad since 2016, and achieved an IRR of 59% p.a. based on the US$800 million pre-money valuation of its stake implied by this transaction (post-estimated performance fees and tax and sale costs payable if Infratil realised its stake).”
Wow, Infratil have been able to generate great returns on these energy transition business.
THERE SHE BLOWS!!!
new ATH right?