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Investing.com -- Tele2 (ST:TEL2b) will create the first tower company covering all Baltic countries in a 50/50 partnership with Global Communications Infrastructure (GCI), which is backed by Manulife Investment Management.
The telecom company will carve out its infrastructure assets in Estonia, Latvia, and Lithuania to form this new venture, which will be based in Lithuania.
The agreement values the tower company at €560 million on a debt-free basis, with Tele2 expecting to receive cash proceeds of approximately €440 million from the transaction.
Following the deal, Tele2 will serve as the anchor tenant under a 20-year master service agreement, allowing it to maintain access to the infrastructure while unlocking value in its mobile telecom assets.
The partnership is designed to enable continued growth and rollout of mobile and 5G services throughout the Baltic region.
The transaction is expected to have a negative impact of approximately €35 million on Tele2’s underlying EBITDAL in 2026. The deal is anticipated to be finalized in early 2026.
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