The sale of the Australian telecommunication towers owned by Optus Group could finally be starting to launch, with sources saying documents for the $2bn-odd divestment process will be sent out to buyers in April.
The towers were known to be coming on to the market early last year, but Singtel’s Optus has been taking its time.
Working on the sales process is Bank of America and it is expected to attract some big names — not only in the telecommunications space but in private equity and infrastructure as well.
The structure of the sale is yet to be determined. Most expect it to involve a selldown by Optus involving about 70 per cent of the portfolio.
The groups that are said to be lining up include a consortium advised by Royal Bank of Canada and Q Advisors consisting of Stilmark, Canada-based OMERS Infrastructure and ATN International.
Then there is the former Crown Castle business Axicom, which is working with Credit Suisse and Macquarie Capital, along with Morrison & Co and the Future Fund, which is being advised by UBS.
Lendlease is also understood to be lining up with help from adviser Morgan Stanley.
While the towers seem like an unlikely prospect for the real estate group, it is understood to have relationships with super funds and other institutional investors that may be interested buyers.
In 2017, Lendlease launched Lendlease Towers, an infrastructure joint venture with SoftBank, to develop and own telecom infrastructure assets in the US.
At the forefront of the minds of any overseas competitors will be whether they can obtain Foreign Investment Review Board approval. FIRB could also be an issue for local funds.
Apparently, the board takes a dim view on any fund that is more than 40 per cent owned by offshore sovereign wealth funds.
Hot on the heels of the Optus sale will be that for the telecommunication towers owned by Optus rival Telstra.
Telstra is working with Macquarie Capital to offload its telecommunications towers that are held in a structure dubbed InfraCo Towers.
Healthscope firmly in the sights of Bain
Bain Capital is closing in on its next big target struggling with too much debt – the country’s second-largest hospital operator Healthscope.
Incitec Pivot’s fertiliser price likely too high for some
Potential bidders have been given information about Incitec Pivot’s fertiliser unit, but the jury’s still out as to how much they will be prepared to pay..