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Investment

OMERS acquires model tower company

OMERS Infrastructure has announced it has signed an agreement to acquire independent telecommunication tower company Stilmark.

The transaction will be the pension fund's second Australian tower investment in the last two months.

In May OMERS announced it would acquire 100% of TPG Telecom Limited's mobile tower and rooftop portfolio.

OMERS senior managing director for Asia Pacific Christopher Curtain said the firm has forged a strong relationship with the Stilmark management team.

"The focus on delivering innovative and market-leading solutions for mobile network operators continues to be a key part of our interest in the company," he explained.

"Stilmark is an excellent fit for our new Australian digital infrastructure portfolio, as it complements our recent investment in TPG's mobile tower and rooftop portfolio."

Stilmark was established in 2013 and is owned by its founders, management team, family offices and US-based ATN International.

It has delivered numerous development and build projects for TPG and Optus and has grown a national portfolio and pipeline of towers, with all sites secured under long-term revenue agreements.

Commenting on the sale, Stilmark chair Graham Bradley said the mobile tower providers were delighted to join the OMERS Infrastructure portfolio in Australia.

"We are excited about the opportunities this creates for our team to continue our innovation leadership in the tower market," he said.

Curtain added that the active asset manager is seeking to grow its investments across Asia Pacific organically and through accretive acquisitions.

"Today's announcement follows the news we shared last week, of an additional investment in our India road platform, IndInfravit, to facilitate its acquisition of five additional roads across the country," he said.

"We are proud of our activity across Asia-Pacific to support and grow our portfolio in key sectors including digital infrastructure, mobility and the energy transition."

Once the Stilmark and TPG tower asset transactions close, the consolidated towers business will be part of OMERS Infrastructure's growing portfolio of assets in Australia, alongside Port of Melbourne, Transgrid and renewable energy firm FRV Australia.

It will also be part of OMERS Infrastructure's global portfolio of digital infrastructure assets, alongside Deutsche Glasfaser/inexio in Germany, and XP Fibre in France.

Read more: OMERS Infrastructure