Millicom (Tigo) and SBA Communications agree to long-term partnership in Central America

Luxembourg, October 28, 2024 – Millicom International Cellular S.A. (NASDAQ: TIGO) announces today that it has entered into an agreement with SBA Communications Corporation (NASDAQ: SBAC) to sell and leaseback a tower portfolio of approximately 7,000 towers in Guatemala, Honduras, Panama, El Salvador and Nicaragua for a total consideration of approximately $975 million, plus an earn-out contingent on achieving certain financial performance metrics.

In addition, the parties have agreed to enter into a build-to-suit agreement under which SBA Communications will build up to 2,500 additional sites, further solidifying the partnership.

Marcelo Benitez, Chief Executive Officer of Millicom, commented, “We are pleased to partner with SBA Communications in this landmark tower transaction, a key element of Millicom’s strategy? to unlock shareholder value. By monetizing non-core assets, we are optimizing our operational and capital efficiency, positioning the company for sustainable growth and long-term value creation. This agreement with SBA Communications strengthens our position as the leading mobile network operator in the region. We are committed to continue building and expanding our mobile coverage to empower communities, foster innovation and create new opportunities for economic development.”

Brendan Cavanagh, President & Chief Executive Officer of SBA Communications, stated “We are happy to join Millicom in announcing this transaction, which significantly enhances the longstanding relationship enjoyed between our companies. As a result of this transaction and the strength of our existing portfolio, SBA Communications will be the leading tower company across all of Central America and we are excited to support Millicom as a leading mobile network operator in advancing their network goals and enhancing connectivity throughout the region.”

The transaction is subject to regulatory approvals and other closing conditions and is expected to close in mid-2025.

J.P. Morgan and Lazard Freres acted as financial advisors to Millicom, and Winston & Strawn LLP acted as legal advisor in connection with the transaction. Goldman Sachs & Co. LLC acted as financial advisor to SBA, and Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as legal advisor.

Regulatory Statement
Certain of this information was, prior to this release, inside information and is information that Millicom is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the contact person set out below, at 9.01pm CET on October 28, 2024.