Operators

Millicom receives $600m from tower deal, announces special dividend

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Millicom receives $600m from tower deal, announces special dividend

Millicom has received a significant cash injection from its previously announced US$925 million tower sale agreement with SBA Communications.

In a statement, the Latin America-focused operator confirmed that completed closings under the deal have so far generated approximately US$600 million. The remaining US$325 million is expected to be collected by the end of Q3 this year.

Following the cash inflow, Millicom’s board has approved a special dividend of US$2.50 per share, to be issued after the publication of the operator’s Q2 results.

The funds stem from a deal signed with SBA in October last year, under which Millicom agreed to sell and lease back 7,000 towers across Guatemala, Honduras, Panama, El Salvador, and Nicaragua.

As part of the agreement, SBA also committed to building an additional 2,500 sites in Latin America.



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