Telus’s CEO Darren Entwistle confirmed Wednesday that the telco is “evaluating a potential plan” to sell a minority stake in its wireless towers to pay down debt.
The Globe and Mail, citing anonymous sources and documents, reported that the company has hired TD Securities to roadshow a 49.9-per-cent stake in its portfolio of 3,000 towers.
“We have engaged with advisors to explore the monetization of our tower infrastructure,” Entwistle said in a press release. “If we are able to do this within the parameters of our desired economics, it would enhance the efficiency and effectiveness of our network operations. This initiative reflects TELUS’ broader commitment to long-term sustainable growth, as the company looks to strengthen its balance sheet as 100% of the proceeds would be used to pay down debt.”
The Globe further reported that analysts believe the stake could yield between $500 million and $1.5 billion.
Late last year, Rogers announced it was selling a minority stake in a newly formed subsidiary to private equity company Blackstone that will include parts of its wireless traffic transport network from one region of the country. The sale of the stake, the cable giant said, would also help it pay down debt.
