Mexico’s largest private tower company could soon be up for grabs

Reports suggest that the international investor appetite for mobile infrastructure may soon hit Mexico, with Digital Colony and Macquarie mulling the sale of MTP. 

 

MTP was formed back in 2014 by Digital Colony’s predecessor Digital Bridge, with the company at the time having a portfolio of around 550 towers in its network. Since then, MTP has grown in scale, currently owning around 3,000 mobile towers throughout Mexico. The company claims to be the largest tower co in the country and works with all of the nation’s major operators.

 

Now, according to sources, Digital Colony and Macquarie have reportedly engaged a financial advisor to consider their options for the tower company, following unsolicited interest from various suitors.

 

A potential sale could be worth $1 billion.

 

Investment in telecoms infrastructure has been booming over the past year, with numerous multi-billion-dollar deals being made in various markets around the world. 

 

Last year, Cellnex announced that it was looking to acquire all of CK Hutchison’s European towers in a deal worth around €9 billion. Meanwhile, US-based infrastructure fund American Tower announced its intention earlier this year to purchase Telefonica’s tower division Telxius for €7.7 billion.

 

With operators seeking cash injections to fund their fibre and 5G rollouts, now appears to be a prime time to purchase infrastructure, though, as we have seen, it will certainly not come cheap. Towers are hugely valuable assets, the ownership of which will convey steady long-term revenues from operators who will still rely on them for decades to come.