Verizon Communications agreed to give Vertical Bridge, an infrastructure firm, the rights to lease, operate and manage thousands of mobile phone towers, for $3.3 billion.
The deal – which encompasses 6,339 towers across 50 U.S. states and Washington, D.C. – includes upfront cash proceeds of $2.8 billion. The towers will be leased back to Verizon for 10 years, with an option to extend the term up to 50 years. The agreement is expected to close by the end of 2024, and assists Verizon’s efforts to drive down tower-related costs.
Vertical Bridge has more than 500,000 sites in the U.S., including wireless and broadcast towers. Asset manager DigitalBridge, which is the majority owner of Vertical Bridge, and Canada’s second-largest pension fund CDPQ would provide capital to support the deal.
“[It] positions us to capitalize on the growing demand for wireless infrastructure,” said Vertical Bridge vice chairman, Marc Ganzi, “especially as AI-driven technologies and 5G continue to reshape connectivity needs across industries.”
