Elliott Management acquired 5.6% of the voting rights and 3.5% of the shares
Paul Singer’s New York-based investment company, Elliott Management, has become Vantage Tower’s biggest shareholder. Vantage was spun out of Vodafone two years ago and is listed on the Frankfurt stock market.
In November, Vodafone transferred its 82% holding in the towerco to a new vehicle that it will control in conjunction with private investor groups including KKR, Global Infrastructure Partners and Saudi’s Public Investment Fund. The plan is for Vodafone to sell up to 50% of the towerco to the partners in that consortium.
Enter Elliott
According to the Financial Times, Elliott disclosed its new holding after Vantage Towers’ majority owners tried to acquire the outstanding shares with the aim of delisting the towerco. Elliott’s move could delay or prevent them; it has a track record of acquiring a foothold in takeover targets with the aim of forcing the majority owners pay more.
Vantage on Tuesday reported a 4.8% rise in revenue to €263.7 million for Q3, giving inflation and an increase in tenancies as the reason for the increase.
A new phase
Rising interest rates and inflation have brought to an end the period of debt-fuelled acquisitions of thousands of towers across Europe from cash-strapped operators, and the towercos’ share prices are suffering.
Tobias Martinez, founder and CEO of the Spanish towerco Cellnex resigned in January, noting the firm needed to move to period of consolidation.