American Tower Closes the Sale of Operations in India to Brookfield
September 12 2024 - 7:03AM
Business Wire
American Tower Corporation (NYSE: AMT) (“American Tower”) today
announced that it has closed the previously announced sale of 100%
of the equity interests in its operations in India (“ATC India”) to
Data Infrastructure Trust (“DIT”), an Infrastructure Investment
Trust sponsored by an affiliate of Brookfield Asset Management
(NYSE: BAM, TSX: BAM) (“Brookfield”).
Total cash proceeds to American Tower associated with the
transaction represents approximately INR 210 billion, or $2.5
billion at today’s exchange rates. Total cash proceeds include
approximately $320 million associated with the monetization of
optionally converted debentures issued by Vodafone Idea and
payments on ATC India receivables, net of withholding tax, and
approximately $2.2 billion of final proceeds at closing. Such
proceeds are expected to be used to repay American Tower’s existing
indebtedness, including the repayment of the existing India term
loan at closing. No further proceeds associated with this
transaction are anticipated.
American Tower’s current 2024 outlook midpoints, as reported in
the Company’s Form 8-K dated July 30, 2024, included full year
contributions from the India business. As a result of the
transaction, results associated with ATC India will now be reported
as discontinued operations. The Company estimates that the current
outlook midpoints for property revenue and Adjusted EBITDA,
including the contributions from discontinued operations and
adjusted to reflect the closing of the transaction, are $10,830
million and $7,185 million, respectively, and AFFO Attributable to
AMT Shareholders per diluted Share, which will be reported
inclusive of contributions from discontinued operations, is $10.48
per Share. The Company estimates that property revenue and Adjusted
EBITDA from continuing operations and AFFO attributable to AMT
common stockholders per Share from continuing operations proforma
for interest expense savings associated with the use of ATC India
sale proceeds, with proceeds and associated interest expense
savings impacts considered on an annualized basis, would have been
$9,920 million, $6,805 million and $9.95, respectively.
Supplementary slides with additional details have been provided
on the “Investor Relations” section of the Company’s website under
“Investor Presentations.”
Citi is serving as lead financial advisor and CDX Advisors is
serving as financial advisor to American Tower. Talwar Thakore
& Associates (TT&A) is serving as principal legal advisor
to American Tower.
About American Tower
American Tower, one of the largest global REITs, is a leading
independent owner, operator and developer of multitenant
communications real estate with a portfolio of nearly 148,000
communications sites (excludes India assets sold) and a highly
interconnected footprint of U.S. data center facilities. For more
information about American Tower, please visit the “Investor
Relations” section of the Company’s website,
www.americantower.com.
Cautionary Language Regarding Forward-Looking
Statements
This press release contains “forward-looking statements”
concerning the Company’s goals, beliefs, expectations, strategies,
objectives, plans, future operating results and underlying
assumptions and other statements that are not necessarily based on
historical facts. Examples of these statements include, but are not
limited to, statements regarding the expected use of the proceeds
to repay existing indebtedness and the expected impacts of the
transaction on the Company’s outlook. Actual results may differ
materially from those indicated in the Company’s forward-looking
statements as a result of various factors, including those factors
set forth under the caption “Risk Factors” in Item 1A of its most
recent annual report on Form 10-K, and other risks described in
documents the Company subsequently files from time to time with the
Securities and Exchange Commission. The Company undertakes no
obligation to update the information contained in this press
release to reflect subsequently occurring events or
circumstances.
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version on businesswire.com: https://www.businesswire.com/news/home/20240911741652/en/
ATC Contact: Adam Smith Senior Vice President,
Investor Relations and FP&A Telephone: (617)
375-7500
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