September 3, 2015 — Diamond Communications has completed the acquisition of a nationwide portfolio of towers from Capital Telecom. Details of the transaction were not released.
“The towers are in great locations and have strong tenants, as well as significant growth potential,” said Ed Farscht, Diamond’s CEO. “We are excited to have completed the acquisition of Capital Telecom’s towers thereby accelerating our growth and solidifying our position as one of the larger privately-owned wireless tower companies in the United States.”
In addition to the transaction, Diamond entered into a strategic partnership to build additional cell towers with Capital Telecom, which controls 23,000 commercial sites nationwide available for tower development. Through the Diamond Tower Developer Partnership Program, debt and equity financing will be provided to Capital Telecom, which will continue to operate independently to develop, maintain and manage towers nationally.
“We have significant capital to deploy in the tower business and we are looking for more opportunities for investment in people that are good developers and good partners,” Farscht said.
Among other things, Diamond’s investment will provide Capital Telecom with the ability to approach the business with a long-term time horizon.
“While it will be ‘business as usual’ with our customers and vendors, our partnership with Diamond will provide Capital Telecom with additional advantages going forward, in particular the ability to approach the business with a long-term time horizon,” said Thomas Waniewski, a principal of Capital Telecom.
Diamond Travels Other Avenues To Continue Growth
Beyond tower acquisitions, Diamond made other moves to market and manage third-party assets this summer, which will further its growth.
In mid-August, Diamond entered into a tower license brokerage and management agreement with the Ohio Turnpike and Infrastructure Commission, which will give Diamond the exclusive right to market and manage the commission’s towers, buildings and light poles for wireless collocations. Additionally, Diamond will market the Ohio Turnpike property for new communication towers, as well as managing existing ground leases and tower agreements on commission property.
In late July, Diamond entered into an exclusive partnership agreement with Outfront Media, formerly CBS Outdoor, to market and manage wireless attachments on its portfolio of 25,000 billboard and transit outdoor advertising properties and network of digital displays.
“Our advertising medium reaches a mobile audience all day, every day, and it’s a natural partnership to lease our billboard and other assets to wireless carriers who need to meet the ever-growing needs of mobile users,” said Jeremy Male, chairman and CEO, Outfront Media.