BURNABY, BC, Aug. 8, 2012 /CNW/ - GLENTEL Inc. (TSX: GLN) announced today that
an agreement has been reached to sell its tower business assets to SBA
Communications Corporation ("SBA") for a price of up to CAD $12 million. The
final price will be determined by the tower site revenue yield at closing. The
transaction is expected to close no later than December 31, 2012.
"We believe the timing is right for GLENTEL to divest its non-core tower
assets," stated Tom Skidmore, GLENTEL's President and CEO. "The sale to SBA
offers GLENTEL a unique opportunity to focus on its core priorities such as
digital migration and the expansion of its digital networks, while delivering
significant value to our shareholders. It also provides GLENTEL with the
opportunity to offer network solutions to its customers on a national basis,
while removing the risk, maintenance and capital expenditures required to
manage and build a best-in-class tower network with enhanced communication
capabilities that SBA is committed to provide in Canada. The transaction does
not affect in any manner, directly or indirectly, GLENTEL's licensed frequency
"This transaction represents our continued drive to establish SBA as the
largest provider of communication sites in Canada," said Edward Hachey, Vice
President, SBA Canada. "We are excited to complete a transaction with GLENTEL,
and believe these unique locations will address the growing needs of our
customers in enhancing their coverage and network quality throughout Canada.
GLENTEL and SBA will work together to ensure a seamless transition for
GLENTEL (TSX: GLN) is the largest independent multi-carrier mobile phone
retailer in Canada and a leading provider of innovative and reliable
telecommunications services and solutions in North America. Founded in 1963
and headquartered in Burnaby, BC, Canada, GLENTEL comprises three operating
divisions - Retail Canada, Retail U.S. and Business - that service thousands
of consumers and commercial communications customers. The company operates
over 545 corporate stores with more than 330 locations in Canada located
nationally in retail malls, Costco Wholesale stores, and business centres; and
more than 210 retail locations in the United States. To its business and
government customers, GLENTEL offers wireless service, rental equipment,
satellite and terrestrial network systems and wireless asset monitoring.
GLENTEL offers a choice of network carrier and wireless device or mobile phone
to Canadian consumers and offers the family of wireless products and services
of Verizon Wireless as one of its select six National Premium Retailers in the
United States. GLENTEL operates its business under the trading names Glentel
Wireless, WIRELESSWAVE, WAVE SANS FIL, Tbooth wireless, la cabine T sans fil,
WIRELESS etc., WAVE SANS FIL etc., Mac Station, and Diamond Wireless - a
Verizon National Premium Retailer in the U.S.
For a copy of GLENTEL's annual report or for additional information, visit
www.glentel.com or www.sedar.com.
About SBA Communications Corporation
SBA Communications Corporation (NASDAQ: SBAC) is a first choice provider and
leading owner and operator of wireless communications infrastructure in North
and Central America. By "Building Better Wireless," SBA generates revenue from
two primary businesses - site leasing and site development services. The
primary focus of the Company is the leasing of antenna space on its
multi-tenant towers to a variety of wireless service providers under long-term
lease contracts. For more information please visit: www.sbasite.com.
Statements in this release relating to matters that are not historical fact
are forward-looking statements based on current expectations, forecasts and
assumptions that involve risks and uncertainties that could cause actual
outcomes and results to differ materially. Factors that could cause or
contribute to such differences include, but are not limited to, general
economic conditions, changes in technology, reliance on third-party
manufacturing, managing rapid growth, limited intellectual property
protection, and other risks and uncertainties described in GLENTEL's public
filings with securities regulatory authorities.
NO STOCK EXCHANGE, SECURITIES COMMISSION, OR OTHER REGULATORY AUTHORITY HAS
APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN.
GLENTEL Contacts: Investor Relations Jas Boparai, Chief Financial Officer
GLENTEL Inc. 604.415.6500 email@example.com
Media Contact: Melanie Mitchell GLENTEL Inc. 604.415.7002
Lynne Hopkins Media Relations 561-226-9431
Mark DeRussy, CFA Capital Markets 561-226-9531
SOURCE: Glentel Inc.
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CO: Glentel Inc.
ST: British Columbia
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