Recently, Unity Digital Infrastructure Inc. (Unity) – a joint venture between Aboitiz InfraCapital, Inc. (AIC) and Partners Group, a leading global private markets firm, acting on behalf of its clients – signed an Asset Sale and Purchase Agreement and a Master Lease Agreement with one of the major telecommunications companies in the Philippines, Globe Telecom, Inc. (Globe). The transaction involves acquiring 447 telecommunications towers and associated passive telecommunications infrastructure in Luzon for PHP 5.4 billion through a sale and leaseback agreement.
The successful sale and leaseback transaction will expand Unity’s capacity, digital footprint, and portfolio of strategic locations across the country, increasing its portfolio of assets to more than 2,000 towers and small cell poles nationwide.
To enhance telecommunication services and meet the rising demand for data connectivity, the Philippine government has set a goal of deploying a common tower network of over 50,000 towers.
“Aboitiz InfraCapital is committed to addressing the infrastructure gaps in the Philippines. Aligned with the Aboitiz Group’s goal of becoming the Philippines’ first Techglomerate, this partnership between Unity and Globe will allow us to support mobile network operators in enhancing connectivity across the country, bringing even more Filipinos into the digital age,” said Cosette Canilao, AIC President and CEO.
“We are confident that our partnership with Unity will enable us to further streamline our operations and promote technology as a tool to upgrade the standard of living across the nation but especially in Visayas and Mindanao, consistent with our vision of digital inclusivity. Reliable infrastructure cannot be stressed enough for a digital company like Globe especially now that our deliberate shift from telco to techco is robustly underway,” remarked Ernest Cu, Globe Telecom CEO.
Unity is dedicated to becoming a comprehensive telecommunications infrastructure provider, catering to the needs of mobile network carriers and addressing connectivity gaps and internet access limitations in the Philippines. In pursuit of this objective, Unity aims to expand its asset portfolio by constructing new towers and acquiring existing ones in key locations nationwide. These endeavors play a crucial role in meeting the demand for common towers, propelling the nation’s digital transformation, and granting millions of Filipinos access to dependable internet services.
“At Unity, our commitment is centered around supporting the country’s digital infrastructure initiative. We collaborate with all mobile network operators to meet the growing need for expanded coverage and improved connectivity, with the ultimate goal of serving unserved and underserved areas,” affirmed Robin Sarmiento, CEO of Unity Digital Infrastructure.
“Signing this agreement with Unity aligns with our mission to promote capital efficiency and prudence in our transactions. We prioritize the welfare of our shareholders and customers by striking a balance between funding sources and transformative projects that drive the company towards the forefront of the digital landscape,” expressed Rizza Eala, CFO of Globe Telecom.
“We take pride in the continuous growth of Unity and our partnership with Aboitiz InfraCapital. Since its establishment in 2021, Unity has already established a significant portfolio of towers and small-cell poles in collaboration with major telecommunications companies in the Philippines. This is a significant stride towards our vision of positioning Unity as a leading provider of telecommunications infrastructure, delivering long-term positive impact to stakeholders and bridging the digital divide in the country,” stated Andrew Kwok, Managing Director and Co-Head of Private Infrastructure Asia at Partners Group.
The Philippines is on the cusp of significant development in digital infrastructure, particularly in expanding access to broadband and mobile services. Seizing the immense growth potential, the transaction with Globe reinforces Unity’s position as an increasingly prominent player in the local common tower industry. By offering innovative and reliable connectivity solutions, Unity remains steadfast in its commitment to advancing the country’s digital economy and promoting social inclusion for all Filipinos.
“By positioning ourselves as leaders in digital infrastructure, we bring closer the realization of our vision to become the Philippines’ first Techglomerate. Through the expansion of Aboitiz InfraCapital’s digital portfolio, we empower the nation to stay connected and adapt to the ever-evolving digital landscape, fostering progress and advancement for all,” said Sabin M. Aboitiz, President and CEO of Aboitiz Group.
