Tags: AT&T | Data Centers | Wireless | Asset

AT&T to Sell Data Centers Worth $2 Billion - Sources

Tuesday, 03 February 2015 06:59 AM EST


AT&T Inc. is selling some data centers worth about $2 billion as it continues its streak of asset sales, people familiar with the matter said.

AT&T, the No. 2 U.S wireless provider, has been exploring options to pay down its debt and raise funds for investments in recent months. The company declined to comment.

The three sources requested anonymity because the matter is not public.

AT&T and its rival Verizon have been selling non-core assets in recent months. Verizon is close to announcing divestitures of wireless towers and wireline markets worth $10 billion, the Wall Street Journal reported on Monday.

AT&T hired a financial adviser to assist in the sale.

Following spectrum investments and pending acquisitions, AT&T's debt ratio may rise in the near term, the company said last week after spending close to half of the total bids in the record-setting $44.9 billion spectrum sale that concluded last week.

AT&T emerged the top bidder in the AWS-3 spectrum auction by bagging 251 licenses worth $18.2 billion.

The company has also been investing to expand its footprint in Mexico to grow its business, as the U.S. wireless market reaches saturation. It said last month it would buy bankrupt NII Holdings Inc.'s wireless business in Mexico for $1.875 billion.

AT&T also sold its wireline operations in Connecticut to regional telephone operator Frontier Communications for $2 billion in late 2013 to raise cash for network upgrades.

In 2013, AT&T completed a $4.85 billion sale of some of its towers to tower operator Crown Castle and preserved its right to lease and operate them for about 28 years.

The Wall Street Journal first reported AT&T's plans to sell its data centers on Monday.

© 2025 Thomson/Reuters. All rights reserved.


Companies
AT&T Inc. is selling some data centers worth about $2 billion as it continues its streak of asset sales, people familiar with the matter said.
AT&T, Data Centers, Wireless, Asset
280
2015-59-03
Tuesday, 03 February 2015 06:59 AM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
Newsmax2 Live
 
On Now:5:00a ET • Clint Eastwood: Steel Gaze
Coming Up:6:00a ET • Presidents and UFOs: The Surprising Story
Get Newsmax Text Alerts

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© 2025 Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved