American Tower Corp. is considering making an offer to acquire Spanish tower operator Cellnex Telecom SA, Bloomberg News reported, citing people with knowledge of the matter.
The U.S. wireless tower real estate investment trust, which is looking to expand in Europe, has yet to make a formal bid for Cellnex and the talks may not result in a transaction, the unnamed sources told the news outlet.
A potential bid from American Tower would depend on the successful $18 billion merger between Cellnex's biggest shareholder, Abertis Infraestructuras SA, and Italian company Atlantia SpA, the unnamed sources told Bloomberg. One of the sources also said Atlantia would decide whether to off-load the Abertis assets after the deal closes, which reportedly is likely to take place during the fourth quarter.
American Tower and Abertis representatives did not comment on the matter. Bloomberg also quoted a spokesman as saying that "Cellnex management has not had any type of contact with American Tower over any sort of possible deal."
Aside from American Tower, Crown Castle International Corp. could be a possible suitor of Cellnex, Bloomberg also noted, citing Spanish newspaper Expansión.