American Tower officials provided some color on the acquisition of 60 tall towers from Richland Towers, which occurred subsequent to the end of the first quarter. The transaction amounted to nearly $450 million in total consideration plus the assumption of $197 million in secured debt, according to Tom Bartlett, company CFO.
The towers are populated mostly by radio and television broadcasters, but American Tower may have some creative ideas for additional tenants. “We picked up 60 high-quality U.S. towers in early April to further cement our leading tall tower position in the United States,” Bartlett said. “We expect that these types of towers may also be a platform for fixed broadband wireless video in the future.”
American Tower is increasing its outlook for adjusted EBITDA by $50 million, in part because of the expected $20 million contribution from the Richland Tower portfolio.