NII Holdings Announces Closing of Sale of Communications Sites in Mexico
RESTON, Va., Nov. 11, 2013
RESTON, Va., Nov. 11, 2013 /PRNewswire/ --NII Holdings, Inc. [NASDAQ: NIHD],
a provider of differentiated mobile communication services operating under the
Nextel brand inLatin America, today announcedthe completion of the
previously announced transaction to sell certain communications sites to
American Tower Corporation [NYSE: AMT]. As part of the transaction, the
Company sold 1,483 communications sites in Mexico to American Tower for total
proceeds of MXN $4.95 billion, which is equivalent to USD $374.3 million based
on current foreign currency exchange rates. As part of the transaction, Nextel
Mexico agreed to lease back the communications sites from American Tower for a
minimum 12-year initial lease term and has the option to extend the lease for
additional renewal periods.
The agreement with American Tower provides for a post-closing adjustment
period, after which the Company will recognize the sale of the sites and any
associated gain, which will be recognized over the lease term. At that time,
the Company expects to record a capital lease liability of approximately $80
million to $125 million.
The Company expects tocomplete the saleof the remaining communications sites
in Mexico that were agreed to be sold once closing conditions are met. The
Company remains on track to close the sale of communications sites in Brazil
by year end for those sites that have satisfied the necessary closing
About NII Holdings, Inc.
NII Holdings, Inc., a publicly held company based in Reston, Va., is a
provider of differentiated mobile communication services for businesses and
high value consumers in Latin America. NII, operating under the Nextel brand
in Brazil, Mexico, Argentina and Chile, offers fully integrated wireless
communications tools with digital cellular voice services, data services,
wireless Internet access and Nextel Direct Connect^® and International Direct
Connect^SM, a digital two-way radio. NII is a Fortune 500 and Barron's 500
company, and has also been named one of the best places to work among
multinationals in Latin America by the Great Place to Work^® Institute. The
company trades on the NASDAQ market under the symbol NIHD. Visit the company's
website at www.nii.com.
Nextel, the Nextel logo and Nextel Direct Connect and International Direct
Connect are trademarks and/or service marks of Nextel Communications, Inc.,
and are used by NII's subsidiaries under license in Latin America.
Visit NII Holdings' news room for news and to access our markets' news center:
Safe Harbor Statement
This release includes "forward-looking statements" regarding the closing of a
sale and lease back of certain communications sites and future sales of
additional communications sites, as well as other statements that are not
historical or current facts. Forward-looking statements are qualified by the
inherent risks and uncertainties surrounding future expectations generally and
may materially differ from actual future results. Risks and uncertainties that
could affect the forward-looking statements in this release include: the
failure to successfully meet post-closing conditions and the failure to
successfully close the sale of additional communications sites as contemplated
by the sale purchase agreement, including due to a failure to meet closing
conditions, and the additional risks and uncertainties that are described in
NII's Annual Report on Form 10-K for the fiscal year ended December 31, 2012,
as well as in other reports filed from time to time by NII Holdings with the
Securities and Exchange Commission. This press release speaks only as of its
date, and NII disclaims any duty to update the information herein, except as
required by law.
NII Holdings, Inc.
1875 Explorer Street, Suite 1000
Reston, VA. 20190
Investor Relations: Tim Perrott
Media Relations: Claudia E. Restrepo
SOURCE NII Holdings, Inc.
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