Cellnex said it sees potential for another 350 sites by 2027 to support the roll-out of 5G networks. The estimated investment for this build-to-suit plan is EUR 140 million. Including these extra sites, the company expects the deal to add annual EBITDA of EUR 90 million.
Omtel has an around 25 percent share of the Portuguese towers market. Its main customer is Altice's Meo, and the contracts run for 20 years, with additional five-year periods, the company said.
Cellnex will finance the takeover with available cash and cash flow generated by Omtel. As a result of the deal Cellnex's sales backlog will grow by EUR 2.5 billion to EUR 38.5 billion.
Altice sold off a majority stake in the towers company in September 2018 to the consortium including Morgan Stanley Infrastructure Partners and Horizon Equity Partners. The sale of its remaining 25 percent stake will raise the company up to EUR 200 million cash.