UPDATE One of Europe’s largest carriers and site owners, Vodafone, confirmed that its upcoming Vantage Towers initial public offering (IPO) will happen before the end of March on the Frankfurt stock exchange. The company formed Vantage as a separate tower division in July of last year. Market analysts said it will be one of the largest share offerings Europe has seen in recent years. This Is Money reported that Vantage Towers controls 82,000 Vodafone towers, valued at over US$18 billion.
According to Vantage Towers CEO Vivek Badrinath, “The IPO is an important milestone and sets the foundations for the next stage of our growth within the dynamic towers industry.”
The European technology company did not disclose the number of shares it would offer but said it would float “a meaningful minority” stake in Vantage. The sale could bring in over US$4.8 billion, reported This Is Money. Vodafone will use money from the IPO to pay down debt, estimated at US$53.4 billion.
Investors in Vantage can expect payouts of US$340 million in dividends for the fiscal year, ending in July. According to This Is Money, it will also seek to pay out 60 percent of its recurring cash flow as dividends in the following fiscal year.
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