Netherlands-based telecommunications company KPN has announced an agreement with Dutch pension fund ABP to create a joint venture called TowerCo, which will operate digital infrastructure in the Netherlands.
The newly formed joint venture will combine the telecommunications and infrastructure of KPN with the infrastructure assets of ABP portfolio company OTC. The joint venture will also include the infrastructure assets of NOVEC, a subsidiary of Netherlands-based transmission systems operator TenneT, which will sell its stake in NOVEC as part of the transaction.
Combined, TowerCo will manage a portfolio of 3,800 tower and rooftop mobile sites in the Netherlands.
“With the increasing consumption of data and the deployment of new technologies, there is an increasing need for a strong and stable grid of mobile sites providing continuous coverage in the Netherlands. Following ongoing demand for network growth and densification, increasing direct exposure to Dutch passive telecom infrastructure is strategically imperative for KPN,” KPN and ABP stated in a press release.
ABP will hold a 49% stake in the joint venture through its internal asset management firm APG, the other 51% stake will be held by KPN. ABP is the largest pension fund in the Netherlands, with 502 billion euros ($539 billion) in assets under management at the end of 2023. Related Stories:
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Tags: ABP, APG, Infrastructure, KPN, Netherlands, NOVEC, OTC, Pensions, TenneT, TowerCo