Deutsche Telekom prepares the sale of the radio tower division

Dusseldorf According to financial circles, Deutsche Telekom is preparing its radio tower business for a sale that could start at the end of the first quarter. The German market leader is open to offers for both a minority and a majority, said several people familiar with the situation.

In view of the high demand for investment opportunities in the infrastructure sector, a valuation of up to 20 billion euros including debts is possible, which would correspond to 30 times the expected operating result (Ebitda). However, the contracts for the future use of the masts by Deutsche Telekom played a decisive role in the evaluation.

For Telekom, the sale of some of its radio towers means a change in its mobile communications strategy. The group had kept control of its locations and thus advertised a particularly high network quality.