Brookfield and BCI close acquisition of telecom tower business from Reliance

CPE News (8/31/2020) – Brookfield Infrastructure Partners L.P. (NYSE: BIP; TSX: BIP.UN) and British Columbia Investment Management Corporation (BC)) have completed the previously announced acquisition of a 100% stake in a telecom tower company in India from Reliance Industrial Investments and Holdings Limited, a wholly-owned subsidiary of Reliance Industries Limited.
(RIL).

Total equity investment will be approximately US $3.4 billion. Brookfield Infrastructure will be investing $600 million.

The telecom tower company owns a high-quality portfolio of approximately 135,000 recently constructed communication towers that form the infrastructure backbone of Reliance Jio’s (Jio) telecom business. Jio is an anchor tenant of the business under a 30-year Master Services Agreement, providing a secure, long-term source of revenue and incremental business plan tower build-out to drive growth that is expected to bring the portfolio to 175,000 towers in the near term.

photo credit: Farbsynthese via pixabay

News Release

Brookfield Infrastructure Announces Closing of Indian Telecom Towers Transaction

BROOKFIELD, News, Aug. 31, 2020 — Brookfield Infrastructure Partners L.P. (“Brookfield Infrastructure”) (NYSE: BIP; TSX: BIP.UN) today announced that it has completed the previously announced acquisition of a 100% stake in a telecom tower company in India from Reliance Industrial Investments and Holdings Limited, a wholly-owned subsidiary of Reliance Industries Limited (“RIL”). Brookfield and its institutional partners will be making an equity investment of approximately $3.4 billion, of which Brookfield Infrastructure will be investing $600 million.

Brookfield Infrastructure has acquired a high-quality portfolio of approximately 135,000 recently constructed communication towers that form the infrastructure backbone of Reliance Jio’s (“Jio”) telecom business. This portfolio provides a well-placed platform to capitalize on the rollout of 5G across the country, as the towers are largely connected by fiber backhaul. Jio is an anchor tenant of the business under a 30-year Master Services Agreement, providing a secure, long-term source of revenue and incremental business plan tower build-out to drive growth that is expected to bring the portfolio to 175,000 towers in the near term.

“We are pleased to have closed this transaction, which was one of our top priorities for 2020,” said Sam Pollock, Chief Executive Officer of Brookfield Infrastructure. “The acquisition of this large-scale, high-quality telecom tower business significantly expands and diversifies our Data Infrastructure segment and competitively positions us in India’s growing data industry.”

“We are confident in the long-term prospects for data sector growth in India,” said Anuj Ranjan, Managing Partner and Head of India and the Middle East for Brookfield. “We are looking forward to continuing to work alongside Reliance, which has established itself as a leading telecom and technology company in India. The recent investments by leading global technology companies and private equity investors in Jio is further testimony to the platform Reliance has built and their strength as our anchor tenant.”

Brookfield Infrastructure Partners is a leading global infrastructure company that owns and operates high-quality, long-life assets in the utilities, transport, energy and data infrastructure sectors across North and South America, Asia Pacific and Europe. We are focused on assets that generate stable cash flows and require minimal maintenance capital expenditures. Investors can access its portfolio either through Brookfield Infrastructure Partners L.P. (NYSE: BIP; TSX: BIP.UN), a Bermuda based limited partnership, or Brookfield Infrastructure Corporation (NYSE, TSX: BIPC), a Canadian corporation. Further
information is available at www.brookfield.com/infrastructure.

Brookfield Infrastructure is the flagship listed infrastructure company of Brookfield Asset Management, a global alternative asset manager with approximately $550 billion of assets under management. For more information, go to www.brookfield.com.

For more information, please contact:

Media:
Claire Holland
Tel: (416) 369-8236
Email: claire.holland@brookfield.com

Investors:
Kate White
Tel: (416) 956-5183
Email: kate.white@brookfield.com