Info-tech

Brookfield Infrastructure completes RJio telcom tower assets buy

Our Bureau Mumbai | Updated on September 01, 2020

Invests $600 million of $3.4-billion deal; acquires 1.3 lakh towers

Brookfield Infrastructure Partners LP has completed the acquisition of Reliance Jio's telecom tower assets. Brookfield and its institutional partners are making an equity investment of approximately $3.4 billion, of which Brookfield is investing $600 million.

Brookfield has acquired 135,000 recently constructed communication towers that form the infrastructure backbone of RJio’s telecom business.

“This portfolio provides a well-placed platform to capitalise on the rollout of 5G across the country, as the towers are largely connected by fibre backhaul. Jio is an anchor tenant of the business under a 30-year master services agreement, providing a secure, long-term source of revenue and incremental business plan tower build-out to drive growth that is expected to bring the portfolio to 175,000 towers in the near term," Brookfield said in a statement.

“We are pleased to have closed this transaction, which was one of our top priorities for 2020,” said Sam Pollock, Chief Executive Officer of Brookfield Infrastructure. “The acquisition of this large-scale, high-quality telecom tower business significantly expands and diversifies our data infrastructure segment and competitively positions us in India’s growing data industry.”

“We are confident in the long-term prospects for data sector growth in India,” said Anuj Ranjan, Managing Partner and Head of India and the Middle East for Brookfield. “We are looking forward to continuing to work alongside Reliance, which has established itself as a leading telecom and technology company in India. The recent investments by leading global technology companies and private equity investors in Jio are further testimony to the platform Reliance has built and their strength as our anchor tenant.

 

ALSO Read: https://www.thehindubusinessline.com/info-tech/rjio-gets-approval-for-brookfield-deal-from-dot-sebi/article32468215.ece

ALSO READ: https://www.thehindubusinessline.com/companies/reliance-industrial-investment-and-holdings-sign-agreements-with-canadas-brookfield-infrastructure-partners/article30318042.ece

Published on September 01, 2020

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