SBA Acquiewa 2,007 Additional Wireless Sites in Brazil for $645M

SBA Communications Corporation SBAC today announced that it has entered into a definitive agreement with certain subsidiaries of Oi SA ("Oi"), one of Brazil's largest telecommunications service providers, and its affiliates, under which SBA will acquire 2,007 wireless sites in Brazil. Upon closing of the transaction, Oi will enter into a long-term lease with SBA, with monthly lease payments, for antenna space on each of these sites. The sites currently have 1.6 tenants per site (including Oi) and include leases with all of the major wireless carriers in Brazil. The transaction, subject to customary closing conditions, is expected to close on or before March 31, 2014. This transaction follows SBA's previously announced acquisition of use rights to 2,113 sites from Oi, which transaction closed November 26, 2013. The consideration to be paid by SBA for the 2,007 sites will be approximately R$1.525 billion (or approximately USD$645 million at current exchange rates). SBA expects to fund the purchase price from cash on hand, existing revolver capacity and/or future debt issuances. Based on an assumed closing date of March 31, 2014, SBA anticipates that the sites will contribute approximately R$110 million of cash See full press release