Dutch telco KPN and pension fund ABP have closed a deal to form a towers JV in the Netherlands.
The carrier announced the launch of the new towerco, which it's named Althio, on Friday (February 14).
The deal, first announced in June, received regulatory approval earlier this month.
Althio's tower portfolio will consist of around 3,800 towers and rooftops in the Netherlands and also receive a built-to-suit commitment for the next 10 years from KPN.
The tower company will hold KPN's passive mobile infrastructure assets plus that of NOVEC and OTC (portfolio companies owned by TenneT and ABP respectively).
KPN holds a 51 percent consolidating stake in the JV, while ABP holds the remaining 49 percent. As part of the transaction, TenneT has sold its stake in NOVEC.
According to KPN, the JV is part of its 'Connect, Activate & Grow’ strategy, which aims to "optimize the value of its passive infrastructure assets and retain strategic flexibility."
KPN has raised its full-year 2025 guidance following the tower tie-up.
The company said it expects earnings before interest, taxation, depreciation, and amortization after leases (EBITDAaL) to hit €2.6bn ($2.73bn), up from €2.58bn ($2.7bn), while it will have a free cash flow of €920 million ($965m) up from €915m ($959m).
KPN added that it expects net debt to increase by up to €300m ($315m).
