American Tower Corporation (REIT) (NYSE:AMT) entered into a definitive agreement to acquire Latin American Business from Telxius Telecom S.A. on January 13, 2021. The purchase price is payable in cash and is subject to customary closing adjustments. In a related transaction, American Tower Corporation is acquiring Europe business from Telxius Telecom S.A and the combined purchase price for both the transactions is approximately €7.7 billion. American Tower intends to finance the transaction in a manner consistent with maintaining its investment grade credit rating and has obtained committed financing from Bank of America. American Tower agreed to extend two lines of credit without provision in multi-currency, until 2024 and 2026, with amounts up to €3.4 billion and 2.4 billion. Of these €1.3 billion is reserved to finance the purchase of business from Telxius Telecom. The bridge loan initially signed with Bank of America of €7.5 billion has been reduced to €4.3 billion. As on February 10, 2021, the Bridge Loan Commitment was reduced to €4.275 billion as a result an aggregate of €3.22 billion of additional committed amounts under the 2019 Multicurrency Credit Facility, the 2019 Credit Facility and the 2021 Delayed Draw Term Loans. On May 21, 2021, American Tower Corporation completed a registered public offering of €750 million aggregate principal amount of its 0.450% senior unsecured notes due 2027, €750 million aggregate principal amount of its 0.875% senior unsecured notes due 2029 and €500 million aggregate principal amount of its 1.250% senior unsecured notes due 2033, which resulted in aggregate net proceeds to the Company of approximately €1,983.1 million, after deducting commissions and estimated expenses. On June 1, 2021, American Tower Corporation closed first tranche of Telxius Towers acquisition, comprised of nearly 20,000 communications sites in Germany and Spain, for total consideration of approximately €6.2 billion. The closing was funded by a combination of cash on hand and borrowings under the Company's revolving credit facilities and term loans. American Tower expects this first tranche of assets to generate approximately $280 million in property revenue. The company intends to use all of the net proceeds for general corporate purposes, including the company's transaction with Telxius Telecom, S.A. The transaction provides for a commitment to the employment by American Tower Corporation. Telefónica Group operators will maintain the current leases agreements of the towers signed with the companies sold subsidiaries of Telxius Telecom, S.A. Telxius will reduce its debt as a result of sale. The transaction is subject to government and regulatory approvals and customary closing conditions and is expected to close in multiple tranches, beginning in the second quarter of 2021. As of April 28, 2021, the Latin American sites are expected to close either late in the second quarter or in the third quarter of 2021, subject to customary closing conditions, including government and regulatory approval. Brazil's Administrative Council for Economic Defense (Cade) has approved the acquisition by American Tower of the entire share capital of Telxius Torres.

The transaction is anticipated to be immediately accretive to consolidated AFFO per share. BofA Securities, Inc. acted as financial advisor for American Tower Corporation. CDX Advisors and EA Markets acted as financial advisors for BofA Securities. Fernando Torrente, Tom Levine, Christian Hilmes, Teresa Mendez and Ruediger Klueber of Allen & Overy acted as real estate advisors to American Tower Corporation. Alvaro Membrillera of Paul, Weiss, Rifkind, Wharton & Garrison acted as legal advisor for KKR, minority stake holder in Telxius. Gary E Silacci, Dane A Heilner, Anil Bharwani and José Enrique Padilla of EY Abogados acted as legal advisor in the transaction. Fernando Alves Meir and Leonardo Rocha e Silva of Pinheiro Neto Advogados, BAZ | DLA Piper and Marval, O'Farrell & Mairal acted as legal advisor to American Tower Corporation. Adolfo Zunzunegui and Tom Levine of Allen & Overy LLP, Adolfo Zunzunegui, Fernando Torrente and Teresa Mendez of Allen & Overy Spain, Ruediger Klueber and Christian Hilmes of Allen & Overy LLP (Hamburg) and Hendrik Jan Biemond of Allen & Overy LLP acted as legal advisor to American Tower Corporation (REIT). Ernst & Young, S.L. acted as accountant to Telefónica, S.A.

American Tower Corporation (REIT) (NYSE:AMT) completed the acquisition of Latin American Business from Telxius Telecom S.A. for approximately €900 million on June 3, 2021.