DigitalBridge set to acquire Telenet’s mobile telecommunications tower business | Your money

BOCA RATON, Fla.–(BUSINESS WIRE)–March 25, 2022–

DigitalBridge Group, Inc. (NYSE: DBRG) today announced that an affiliate, DigitalBridge Investments, LLC (collectively “DigitalBridge”), has agreed to acquire the mobile telecommunications tower business (“TowerCo”) of Telenet Group Holding NV (Euronext Brussels: TNET, “Telenet”) in an all-cash transaction worth €745 million, or $820 million 1, without cash or debt. The transaction is being financed through a combination of debt and equity financing, including a balance sheet commitment from DigitalBridge of €470 million, or $517 million 1. DigitalBridge intends to later transfer its ownership of TowerCo to a fund affiliated with investment management platform DigitalBridge, in support of the company’s ongoing development of new investment strategies.

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Marc C. Ganzi is President and CEO of DigitalBridge and has been an investor and operator in the digital infrastructure industry for over 25 years. Mr. Ganzi led the transformation of DigitalBridge to become a leading platform for digital infrastructure and real estate investment. (Photo: BusinessWire)

The transaction with Telenet, one of Belgium’s leading entertainment and telecommunications service providers, will provide DigitalBridge with 100% ownership of Telenet’s passive infrastructure and tower assets, including TowerCo’s national footprint 3,322 sites in Belgium, including 2,158 owned sites and 1,164 third-party sites. party venues.

Through this acquisition, DigitalBridge will capitalize on the unique opportunity to create and invest in the first independent TowerCo in Belgium with an extended footprint, a total rental rate of 1.2x and a rental rate of 1.6x in the rounds. The transaction creates the foundation for DigitalBridge to benefit from Telenet’s increased participation in the 5G rollout to meet growing coverage needs, as underlined by robust market and macroeconomic trends in telecommunications.

Marc Ganzi, President and CEO of DigitalBridge, said: “Telenet’s tower business is a high quality digital infrastructure asset with stable and predictable cash flows, high cash conversion and contracts long-term. This transaction is the latest example of DigitalBridge’s commitment to working with the world’s leading telecommunications and technology companies to help them unlock the embedded value of their networks through creative solutions built on longstanding relationships. and a proven track record of successfully operated assets. We see significant room for growth in the Belgian telecommunications market through improved mobile penetration and data usage, and we look forward to meeting and exceeding Telenet’s increased coverage needs.

Under the terms of the agreement, DigitalBridge will enter into a long-term master lease agreement with Telenet, which includes an initial term of 15 years and two renewals of 10 years each. The agreement also includes a bespoke commitment to deploy a minimum of 475 additional new sites.

The transaction is expected to close in the second quarter of 2022 and requires no further regulatory approval.

DigitalBridge was advised by Latham & Watkins and Stibbe (acting as legal advisors), PwC (acting as financial and tax due diligence advisor) and EY Parthenon (as business advisor). Telenet was advised by A&O (acting as legal advisor), Goldman Sachs International (acting as financial advisor), Deloitte (as financial due diligence and tax advisor) and PMP (as business advisor).

About Digital Bridge

DigitalBridge (NYSE: DBRG) is a leading global digital infrastructure REIT. With a legacy of more than 25 years of investing in and operating businesses across the digital ecosystem, including cell towers, data centers, fiber, small cells and edge infrastructure, the he DigitalBridge team manages a $45 billion portfolio of digital infrastructure assets on behalf of its limited partners and shareholders. Based in Boca Raton, DigitalBridge has key offices in New York, Los Angeles, London and Singapore. For more information, visit www.digitalbridge.com.

About Telenet

As a provider of entertainment and telecommunications services in Belgium, Telenet Group is always looking for the perfect experience in the digital world for its customers. Under the Telenet brand, the company focuses on offering digital television, broadband Internet and fixed and mobile telephony services to residential customers in Flanders and Brussels. Under the BASE brand, it provides mobile telephony in Belgium. The Telenet Business department serves the business market in Belgium and Luxembourg with connectivity, hosting and security solutions. More than 3,000 employees have one goal in mind: to make life and work easier and more enjoyable. Telenet Group is part of Telenet Group Holding NV and is listed on Euronext Brussels under the symbol TNET. For more information, go to www.telenet.be. Liberty Global – one of the world’s leading convergent video, broadband and communications companies, innovating and enabling people in six countries across Europe to make the most of the digital revolution – owns a working interest of 58, 3% in Telenet Group Holding NV (excluding any treasury bonds held by the latter from time to time).

Caution Regarding Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends, and similar expressions regarding matters that are not historical facts. In some cases, you can identify forward-looking statements by using forward-looking words such as “may”, “will”, “should”, “expect”, “intend”, “anticipate”, “anticipate “, “believes”, “estimates”, “predicts” or “potential” or the negative of these words and expressions or similar words or expressions which are predictions or indicate future events or trends and which do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond our control, and may cause actual results to differ materially from those expressed in any forward-looking statement. factors that could cause such a difference include, but are not limited to, whether DigitalBridge will complete the acquisition of TowerCo on schedule or at all, whether DigitalBridge will subsequently transfer its stake acquisition in TowerCo to an Affiliate Fund, whether DigitalBridge will realize any of the expected benefits of the acquisition, and other risks and uncertainties, including those detailed in DigitalBridge’s Annual Report on Form 10-K for the financial year ended December 31, 2021, and its other reports filed from time to time with the United States Securities and Exchange Commission (“SECOND”). All forward-looking statements reflect the Company’s good faith beliefs, assumptions and expectations, but are not guarantees of future performance. DigitalBridge cautions investors not to place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of this press release. DigitalBridge undertakes no obligation to update these forward-looking statements after the date of this press release, or to conform any prior statements to actual results or revised expectations, and DigitalBridge does not intend to do so.

1 Based on the exchange rate as of March 24, 2022.

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KEYWORD: BELGIUM EUROPE UNITED STATES NORTH AMERICA FLORIDA

INDUSTRY KEYWORD: TECHNOLOGY MOBILE/WIRELESS TELECOMMUNICATIONS COMMERCIAL BUILDING & REAL ESTATE CONSTRUCTION & PROPERTY REIT

SOURCE: DigitalBridge Group, Inc.

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PUBLISHED: 03/25/2022 02:35 AM/DISC: 03/25/2022 02:36 AM

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