Is TPG Looking To Flog Its Towers?
TPG Telecom may be looking at selling off some or all of its telecommunications towers, with a strategic review now underway.
The company announced the review in its half-yearly results, saying assets such as its towers are a hot commodity.
“Demand for telecommunications infrastructure assets is strong, and TPG Telecom has commenced this review to obtain a preliminary market assessment.
“While the company is continually seeking opportunities to maximise shareholder value, it has not made any commitment in relation to these assets,” the company said.
TPG operates a network of 5800 rooftops and towers around Australia, and owns the passive infrastructure on approximately 1200 of these sites, the majority of which have a high tenancy ratio and are in metropolitan areas.
This would not be the first asset sell-off by a big-three telco this year, with Telstra offloading 49 per cent of its Towers business at a higher-than-expected price of $2.8 billion in June, and comes as TPG records a dip in net profit and a fall in its mobile customer base due largely, it says, to COVID.