BOSTON – American Tower Corporation (NYSE: NYSE:), a world actual property funding belief (REIT) and unbiased communications infrastructure supplier, has entered right into a definitive settlement to promote its Indian operations, ATC India, to Data Infrastructure Trust (DIT). DIT is linked to Brookfield Asset Management (NYSE: TSX:, TSX: BAM), which operates telecom tower companies in India.

The deal, ensuing from a strategic evaluate of American Tower’s belongings in India, is predicted to internet the corporate as much as roughly INR 210B, equal to $2.5B primarily based on present alternate charges. The transaction consists of an enterprise worth of about $2.0B for ATC India, plus further charges accruing from October 1, 2023, till the deadline, which is anticipated within the second half of 2024.

Completion of the sale is topic to customary closing situations, together with approvals from authorities and regulatory our bodies. American Tower plans to make use of the proceeds from the sale to cut back its present debt. Additionally, the corporate will retain the financial advantages from optionally transformed debentures issued by Vodafone (NASDAQ:) Idea and is entitled to future funds associated to present receivables from ATC India.

Citi and CDX Advisors are performing as monetary advisors, whereas Talwar Thakore & Associates is the principal authorized advisor for American Tower on this transaction.

American Tower operates practically 225,000 communication websites globally and has a major presence within the U.S. knowledge middle market. The sale of its Indian operations marks a major shift in its worldwide portfolio. This information relies on a press launch assertion and all forward-looking statements relating to the sale’s closure and the usage of proceeds are topic to varied elements, together with these disclosed in American Tower’s regulatory filings.

InvestingProfessional Insights

In the context of American Tower Corporation’s strategic transfer to promote its Indian operations, it’s noteworthy that the corporate’s monetary metrics and analyst insights paint an image of strong monetary well being and progress prospects. According to InvestingProfessional knowledge, American Tower boasts a market capitalization of $14.14B and a price-to-earnings (P/E) ratio of 17.89, reflecting investor confidence in its earnings potential.

InvestingProfessional Tips spotlight the corporate’s excessive earnings high quality, with free money circulate exceeding internet earnings, and a constant enhance in earnings per share. These elements are notably related as the corporate plans to make use of the proceeds from the sale to cut back its present debt, doubtlessly strengthening its monetary place. Moreover, the spectacular gross revenue margin of 92.39% for the final twelve months as of Q3 2023 underscores the corporate’s operational effectivity.

Investors searching for extra in-depth evaluation and extra insights can discover the complete vary of 11 InvestingProfessional Tips obtainable for American Tower. To benefit from these insights, contemplate subscribing to InvestingProfessional, now obtainable at a particular New Year sale with a reduction of as much as 50%. Plus, use the coupon code sfy24 to get an extra 15% off a 2-year InvestingPro+ subscription, offering a complete toolset to navigate market developments successfully.

This article was generated with the assist of AI and reviewed by an editor. For extra data see our T&C.