Infrastructure
We assist operators, investors, and policy makers in understanding the value of towers, fibre and other passive infrastructure.
As the industry continues to optimise the financial efficiency of its network assets, we assist our clients in understanding the value of towers, fibre and other passive infrastructure, as well as the pros and cons of monetising or sharing passive and active components within shared networks.
We provide support on both the buy and sell side of tower divestments, as well as advising operators on the benefits of passive and active network sharing. For tower transactions, we provide business cases together with commercial and technical due diligence. For network sharing, operators often jointly appoint us as a ‘clean team’ to build a business case without sharing data.
We also consider the policy issues raised by infrastructure sharing, applying our understanding of the pros and cons of InfraCo models and inter-operator network sharing from the perspectives of competition, consumer benefits and environmental benefits.
Our infrastructure services
Tower portfolio due diligence
We use our network modelling expertise, combined with detailed geographical analysis, to build comprehensive forecasts of the lease-up potential of sites.
Network sharing business case development
We use our proprietary network dimensioning model to build business cases for operators considering passive, active (MORAN) or spectrum (MOCN) sharing.
Policy and regulation of infrastructure sharing
We help policy makers facilitate the sharing of towers, networks and spectrum while retaining incentives for infrastructure deployment and competition.
Our project experience
Commercial and technical due diligence for a tower transaction
We provided technical and commercial due diligence for a recent tower transaction in the Middle East.
We developed detailed forecasts of the likely future site requirements of the mobile operators in the market, incorporating the impacts of 5G and future spectrum availability. In parallel, we assessed the current wind load on the towers based on a database of installed equipment and assessed of the available capacity of each site, with and without strengthening.
Using this analysis in a comprehensive geographical model, developed scenarios for the lease-up potential of existing sites.
Vendor due diligence for sites operating within strict EMF restrictions
We prepared a vendor due diligence report and business case for the sale of a mobile operator’s entire tower portfolio in a market with extremely strict limitations on non-ionising radiation.
In addition to detailed geographic forecasting of site demand and loading capacity, we developed a detailed model of the available power budget within the non-ionising radiation limits.
A successful transaction followed, in which the site portfolio was sold to a major international TowerCo.
Network sharing business case and scenarios in a 'clean team'
Two operators jointly appointed Aetha as a ‘clean-team’ to assess a range of network sharing scenarios, including MORAN and MOCN with spectrum sharing, without directly sharing confidential data with one another.
We modelled the evolution of each operator’s network and associated costs on a stand-alone basis, as well as for various network sharing scenarios. We considered projected traffic, spectrum availability and technology evolution. For the shared network cases, network integration costs were carefully modelled, including costs associated with terminating site leases and introducing active sharing.
Buy-side due diligence on a tower portfolio
We undertook commercial due diligences on various tower portfolios in Saudi Arabia and Kuwait.
For each tower portfolio, we developed a detailed geo-analysis model that was used to forecast tenancy ratios from future market demand for additional points of service.
Our reports included a high-level business case for each tower portfolio, allowing our client to prioritise its investment.
Network synergy analysis for potential merger
We developed a detailed model of network synergies available from the merger of Indosat Ooredoo and Three Indonesia.
We identify the opex and capex savings that could be achieved from site consolidation, given the terms of site leases and projected network traffic. The project included a detailed assessment of the cost of implementing the network consolidation to achieve the synergies. The synergy and cost projections were used by the two mobile operators to agree terms for the merger, which was completed in January 2022.
Relevant articles & reports
Telco delayering: where might it take us?
Telco delayering: where might it take us?
1 November 2024
‘Delayering’ – the separation of telecoms business into their infrastructure and service components – is becoming increasingly popular. Countless mobile operators […]
Has the runway just gotten shorter for UK fibre consolidation?
Has the runway just gotten shorter for UK fibre consolidation?
10 October 2024
Consolidation in the UK fibre market has been expected for some time, driven by rising debt costs and […]
What does the Netomnia-Brsk tie-up tell us about UK altnet consolidation?
19 June 2024
UK FTTH altnets Netomnia and Brsk have agreed to merge operations, creating a fibre builder with 1.5 million homes passed and 140 000 customers. Both parties retail […]
