Spanish infrastructure titan, Cellnex, could be setting the stage for a minority stake sale in its Nordic operations, specifically in Sweden and Denmark, according to sources. The firm is partnering with Spanish advisors AZ Capital to measure potential interest in this unit, reportedly worth nearly €1 billion.
As of Q1 2021, the company had 1,576 sites in Denmark and 2,906 in Sweden under its operational umbrella. However, the specific value of these locales remains a vague estimate. Due to a strategic choice in financial reporting, Cellnex doesn’t disclose separate figures for its Swedish and Danish branches. These are bundled into the ‘rest of Europe’ unit which also includes Netherlands, the UK, Switzerland, Ireland, Portugal, Austria, and Poland. This unit recorded a Q1 EBITDA of €264 million.
A potential stake sale of the Nordic branch aligns with previous statements made by Cellnex CEO, Marco Patuano. In March, Patuano opened up the possibility of selling minority stakes to local investors who might be keen on investing in specific European regions. Share values spiked by 4.7% to €38.49 following this announcement.
Years of expansion through mergers and acquisitions—including that of CK Hutchinson’s European towers— have pivoted Cellnex towards a new trajectory aimed at slashing its staggering €17 billion debt. This debt figure stood unaltered at the culmination of Q1.
Going strong with 135,000 operational sites across Europe, Cellnex recently purchased the leftover 30% stake in OnTower from Iliad for €510 million, raising Poland’s site sum to around 15,000.
On the note of expansion, Cellnex recently acquired a substantial loan of €315 million from the European Investment Bank. The firm intends to use this funding to oversee additional site deployment and upgrades to existing infrastructures in Spain, Portugal, France, Italy, and Poland.
This news follows several other significant headlines from the telecom giant, including the naming of Anne Bouverot as a Non-Executive Chairperson and collaborations with the likes of Nokia and telecom company Tele2.
Stakeholders, investors, and enthusiasts look forward to an engaging dialogue on the evolving scenario of the tower infrastructure market this year at the Total Telecom Congress, held in Amsterdam.
