AMSTERDAM / DÜSSELDORF, March 2023 – MUFG Bank (Europe) N.V. has announced the completion of the financing of a landmark acquisition in Germany and Austria. US Private Equity firm DigitalBridge and Canadian investment management company Brookfield acquired 51% of the tower business of Deutsche Telekom, GD Towers. The completion and financial close of the transaction occurred on February 1, 2023.
MUFG Bank Europe acted as one of the initial MLAs, underwriters, bookrunners and swap providers on this financing. The transaction is a notable success for MUFG in continental Europe, as it was the largest European underwritten transaction in the towers sector at the time.
Barbara Boehnlein, Corporate Coverage Country Manager Germany at MUFG Bank (Europe), said:
"While mergers and acquisitions are down due to economic headwinds and volatile market conditions, financings in defensive sectors such as telecommunications remain strong. We are seeing a return of large-scale underwritings in the structure of these acquisition financings. This transaction is a good example of how financial sponsors and longer-term bank financing can achieve an optimal outcome for infrastructure asset holders."
Phillip Hall, Head of Structured Finance, EMEA at MUFG Bank added:
"This is exactly the type of transaction that highlights MUFG's expertise, acting as Initial Mandated Lead Arranger, Underwriter and Bookrunner in the Digital Infrastructure Sector with the bank supporting its key clients in this major, highly active sector."
GD Towers is Germany's largest tower company, owning and operating more than 40,000 towers and communications sites in Germany and Austria, and employs nearly 800 people. In 2021, DT 's tower division generated pro forma revenue of €1.1 billion ($1.2 billion), while adjusted pro forma EBITDAal was €640 million ($688 million). The management team of GD Towers continues to be led by CEO Bruno Jacobfeuerborn. Chairman of the Board of Management Thorsten Langheim will continue to lead the business. Deutsche Telekom will retain a 49 percent stake in GD Towers' business.
ENDS