American Tower Corporation announced an agreement to form a joint venture in Europe with the Dutch pension fund manager PGGM. ATC will contribute its German assets to the venture, and PGGM will acquire a 49 percent interest in the new company ATC Europe.
The company will focus on pursuing telecommunications real estate investment opportunities in select countries on the continent, ATC said. American Tower will retain operational control and day-to-day oversight of ATC Europe.
ATC said it will benefit from PGGM's knowledge of the European market, while also being able to preserve capital for investment in other higher-growth markets. PGGM is already a long-term investor in infrastructure assets and said it is keen on investing in the European real economy to bring long-term returns to the participants of its pension funds. No financial details of the agreement were disclosed, and the companies expect to close the deal before year-end.
