(Bloomberg) -- Cellnex Telecom SA has agreed to sell its Austrian business to an investor consortium comprised of Vauban Infrastructure Partners, EDF Invest and MEAG for an enterprise value of €803 million ($877 million), as the Spanish tower operator works to cut debt and exit smaller markets.
The deal includes an unconditional deferred payment of €272 million in December 2028 and is subject to customary regulatory approvals, Cellnex said in a statement on Friday. Once the transaction closes, the company “will reassess its capital allocation priorities,” it said, in reference to a possible share buyback.
It’s Cellnex’s second divestment since it shifted strategy in 2022 to focus on reducing leverage amid rising financing costs, after years of growth fueled by takeovers. The firm achieved an investment-grade credit rating from S&P in March, when Cellnex announced it will start paying a dividend from 2026.
Chief Executive Officer Marco Patuano, who joined in June last year to lead the new strategy, has said the company is open to considering a share buyback following the disposal in Austria. Patuano replaced Tobias Martinez, Cellnex’s founder, who resigned last year.
Patuano has led a major overhaul at Cellnex that has included building a new leadership team and seeking to sell tower units in countries where it can’t consolidate.
Cellnex sold its Irish business in March for about €971 million and a minority stake in its Nordics business last year. Cellnex is also seeking a minority investor in Poland, but this transaction hinges largely on it reaching a separate agreement to buy electronic network components, including antennas, from Iliad SA’s carrier Play.
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