American Tower Corporation announced today that it had completed its agreement to acquire 100% outstanding common membership interests of MIP Tower Holdings LLC.

MIP Tower Holdings LLC operates as a private real estate investment trust. The company is the parent of Global Tower Partners (GTP), the owner and operator of communications real estate and related companies. Macquarie Infrastructure Partners owned majority shares at GTP together with minority partners that included Dutch pension fund manager PGGM and management.

As a part of the agreement, American Tower would assume around USD1.5 billion of existing GTP debt. American Tower would also pay around USD3.3 billion in cash for GTP. The purchase price was paid with borrowings under existing credit facilities and cash on hand. American Tower paid USD2.8 billion from borrowings and USD0.5 billion in cash to satisfy the cash portion of the deal.

At the close of the deal, a portion of the cash consideration was placed in escrow. The move was for payment of potential indemnification obligations and purchase price adjustments. After the close of the transaction, American Tower had total liquidity of USD1.9 billion that included cash on hand and remaining capacity under its existing revolving credit facilities.