T-Mobile is reportedly close to finalizing a deal that would see them sell 7,000 cell towers for approximately $2 billion. As of writing, Crown Castle International is the leading bidder for the cell towers according to sources as reported by the Wall Street Journal.
The move would net the fourth –largest US wireless carrier with some much needed cash following the failed acquisition by rival AT&T. T-Mobile received $1 billion in wireless spectrum and another $3 billion in cash from AT&T as part of the breakup deal. In addition to the quick cash, T-Mobile would save additional money on tower upkeep and service over the long haul.
Some of the money from the tower sale would be used to help build their 4G LTE infrastructure as part of a program that will see the telecom spend roughly $4 billion over the next several years. Remaining funds could be used to purchase more spectrum as the $1 billion worth they collected from AT&T simply isn’t sufficient.
Although talks have reportedly moved to advanced stages with Crown Castle International, it’s far from a done deal. Rival bidders American Tower Corp. and Global Tower Partners are still very much in the running. That said, a deal with Crown may or may not happen and if it does, it’s unclear exactly how the deal would be structured. Apparently cell tower deals tend to be rather complicated. We likely won’t know for several more months if a deal with Crown will play out or not.