IHS Holding has signed an agreement to acquire São Paulo Cinco Locação de Torres (SP5), a Grupo Torresur (GTS) portfolio company.
GTS is one of the leading providers of telecommunications infrastructure in Brazil and SP5’s portfolio includes 2,115 telecommunication towers across Brazil.
This transaction forms a key part of IHS Towers’ inorganic growth strategy in Latin America as IHS seeks to become the leading emerging market telecommunications infrastructure provider, as SP5’s sites are located in 25 of Brazil’s 27 states. SP5 will be integrated into IHS Towers’ existing Brazilian business with no employees transferring to IHS Towers under the acquisition.
Sam Darwish, IHS Towers Chairman and CEO, said: “The acquisition of GTS’ SP5 portfolio will be our fifth transaction since we entered the region two years ago and is a testament to our continued commitment to serving the connectivity demands of Latin America. In the SP5 portfolio there are 2,115 sites strategically located across Brazil, increasing the attractiveness of IHS’ portfolio to our customers whether in Brazil or across our Latam operations.”
Jimmy Eisenstein, GTS Chairman and CEO, said: “The sale of our SP5 portfolio represents the culmination of our strategy to create an important infrastructure business focusing on historically under-served regions of Brazil. Since our acquisition, our team has driven strong organic revenue growth, proving the critical role of SP5 to the market and resulting in an excellent return for our investors.”
The deal is subject to regulatory approvals and is expected to close in Q1 2022.
