search icon

Your country and language

United KingdomEnglish

search icon
close icon
close icon
  • search icon
  • cellnex logo
  • search icon
  • cellnex logo
Logo Cellnex
Logo Cellnex
Search Icon
Logo Cellnex
Logo Cellnex
Pin Icon Select your country
  • Global arrow icon
  • Austria arrow icon
  • France arrow icon
  • Ireland arrow icon
  • Italy arrow icon
  • The Netherlands arrow icon
  • Poland arrow icon
  • Portugal arrow icon
  • Spain arrow icon
  • Sweden arrow icon
  • Switzerland arrow icon
  • United Kingdom arrow icon
  • Denmark arrow icon
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Ireland
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
The Netherlands
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
Logo Cellnex
Logo Cellnex
search icon Select your language
United Kingdom
Logo Cellnex
Logo Cellnex
search icon Select your language
Denmark
Logo Cellnex
Logo Cellnex
Pin Icon Use your folder to save and share Cellnex content

0 saved items

Logo Cellnex
Logo Cellnex
Pin Icon Acces to our intranets
  • 26 Jan 2021
  • ·
  • Sweden

Cellnex closes the acquisition of CK Hutchison’s assets in Sweden

Adding its eleventh market in Europe

It follows the closings already announced earlier this month in Austria, Denmark and Ireland. Cellnex now owns 9,700 towers and sites out of the total 24,600 that made up CK Hutchison’s portfolio in Europe
In November 2020 Cellnex announced the agreement to acquire the Hutchison towers and sites in Austria, Ireland, Denmark, Sweden, Italy and the United Kingdom for a total investment of €10 billion

The agreement also covers the roll-out of up to 5,250 sites over the next eight years with an associated investment of up to €1.4 billion, including other initiatives

Italy and the UK will follow in the coming months

Once the closing process is concluded in the six countries and the planned roll-outs performed, Cellnex will have c. 107,000 towers and telecommunications sites

Barcelona, 26 January 2021. Cellnex Telecom has announced that it has closed the acquisition of CK Hutchison’s telecommunications tower assets in Sweden, the fourth countryafter the closures in Austria, Denmark and Ireland announced on 8 January–, of the six ones covered by the agreement announced on 12 November. With this move, the Company has now consolidated 9,700 sites out of the  24,600 included in the agreement. The total value of the operation is €10 billion and the agreements also cover the roll-out of up to 5,250 new sites over the next eight years, with an additional investment of €1.4 billion.

Once the ongoing integration and deployment processes are completed, Cellnex will have c.107,000 towers and sites, including the more than 3,000 in the Netherlands that are part of the recently announced agreement with Deutsche Telekom.

 

Deal’s Key facts and figures

The overall amount of transactions in the six countries stands at €10 billion: €8.6 billion in cash and €1.4 billion in shares representing an approximately 5% stake in the company. Cellnex has agreed to pay cash for the operations in the four countries in which the agreement has already been closed, and in Italy as well, while in the United Kingdom payment will involve both cash and new Cellnex shares once the transaction is concluded in that country.

The deal was structured into six separate transactions – one for each country. The plan was to stagger the closing of the various operations, and to do this separately as soon as each of the established conditions were met (such as the authorisation from the competition authorities, where required).

CK Hutchison will enter Cellnex’s capital structure only after the operation in the United Kingdom has been fully concluded.

Cellnex has concluded and will conclude long-term service contracts with CK Hutchison in the various countries for an initial period of 15 years, extendible for a further 15, and subsequent periods of five years.

Estimated additional EBITDA will be around €970 million –under IFRS16 and once the acquisitions have been concluded and the new roll-outs performed, including the company’s estimates on leases to third parties and efficiencies–, while free and recurring cash flow will grow by around €620 million.

In terms of sales, group turnover will increase €1.2 billion to €3.8 billion once all planned roll-outs are complete.

The upshot of these pan-European agreement in terms of backlog, or sales volume contracted by Cellnex, is an increase of €33 billion to reach €88 billion.

 

Three new markets and reinforcement of the project in Italy, Ireland and the UK

Under the agreed terms, Cellnex will enter three new markets: Austria, Denmark and Sweden, and now operates in a total of eleven European countriespending closing of the agreement announced with Play in Poland–,  as well as expanding its presence in key markets such as Italy, Ireland and the UK, in which the volume of assets under management will double.

Of the total 24,600 sites to be acquired, 8,900 correspond to Italy;  6,000 to the UK[1];  1,150 to Ireland; 2,650 to Sweden; 1,400 to Denmark and 4,500 to Austria.

Of the up to 5,250 additional sites to be rolled out over the next eight years, 1,100 are planned in Italy, 600 in the UK, 100 in Ireland, 2,550 in Sweden, 500 in Denmark and a further 400 in Austria.

About Cellnex Telecom

Cellnex Telecom is Europe’s leading operator of wireless telecommunications and broadcasting infrastructures with a portfolio of c.107,000 sites, 75,000 of them already in the portfolio and the rest in the process of closing or planned roll-outs up to 2028. Cellnex operates in Spain, Italy, Netherlands, France, Switzerland, the UK, Ireland, Portugal, Austria, Denmark and Sweden. Cellnex’s business is structured in four major areas: telecommunications infrastructure services; audiovisual broadcasting networks, security and emergency service networks and solutions for smart urban infrastructure and services management (Smart cities e the “Internet of Things” (IoT)).

The company is listed on the continuous market of the Spanish stock exchange and is part of the selective IBEX 35 and EuroStoxx 600 indices. It is also part of the FTSE4GOOD and CDP (Carbon Disclosure Project) and “Standard Ethics” sustainability indexes. Cellnex’s reference shareholders include Edizione, GIC, ADIA, CriteriaCaixa, Blackrock, Wellington Management Group and Canada Pension Plan.

For more information: https://www.cellnextelecom.com

[1] Interests in/or derived from 6,000 sites in the United Kingdom

Latest news

Media Contacts

Social Media

_Global Public Affairs Director

Toni Brunet Mauri

_Global Corporate & Business Communication Director

Xavier Gispert Vinyals

Let's talk

I want to talk to your experts in:

Select any sector or industry

Additional information

Select a country