The transaction between U.S.-based telecommunications infrastructure management company Global Communications Infrastructure LLC (GCI) and Swedish telecommunications company Tele2 has been successfully completed, resulting in the creation of the first pan‑Baltic mobile tower company, headquartered in Lithuania.
“This transaction is one of the most significant infrastructure projects in the Baltics in recent years. We are pleased to have contributed to the creation of the first mobile communications tower company covering the entire region. Projects of this scale require not only legal precision, but also the ability to manage regulatory and commercial aspects across different jurisdictions within a unified structure,” says Dr Irmantas Norkus, Managing Partner at COBALT.
Following receipt of customary regulatory approvals and the establishment of the new company, Baltic Tower Company, Tele2 will transfer to it all of its passive mobile telecommunications infrastructure in Lithuania, Latvia and Estonia. In total, approximately 2,700 mobile towers and rooftop sites will be transferred. Tele2 will retain ownership of the active network components. Under a 20‑year Master Service Agreement, Tele2 will serve as the anchor tenant, ensuring long‑term, secure access. to critical infrastructure.
Tele2 and GCI have also committed to a 10-year investment programme aimed at constructing new sites across the Baltics to support continued expansion and enhanced network coverage.
The transaction will enable Tele2 not only to unlock the value of its mobile infrastructure, but also to accelerate the continued rollout of mobile communications and 5G services across the region. Under the terms of the agreement, the tower company is valued at EUR 560 million on a debt-free basis, and Tele2 expects to receive approximately EUR 440 million in net proceeds.
Throughout the transaction, COBALT, together with international law firm Freshfields Bruckhaus Deringer LLP, provided legal assistance to GCI and its financing partner, global investment manager Manulife Investment Management. Our mandate covered legal due diligence, assistance with the transaction documentation, W&A insurance, demerger procedures, financing and regulatory workstreams across all three Baltic jurisdictions. The project was led and managed by Specialist Counsel Sandra Sidoraitė. The legal team comprised experts from COBALT offices in all three Baltic countries.
Lithuania: Managing Partner Dr Irmantas Norkus; Partners Rokas Daugėla, Rasa Zaščiurinskaitė and Eva Suduiko; Associate Partner Rasa Mikutienė; Specialist Counsels Sandra Sidoraitė, Aušrys Šliavas and Justinas Šileika; Managing Associates Manvydas Borusas, Kostas Grigaitis and Simona Liuimienė; Senior Associates Viktorija Varnaitė, Ieva Milkmanavičiūtė and Agnė Saliamonė; Assistant Lawyer Dainius Timukas and Bernard Balcevič.
Latvia: Managing Partner Dace Silava-Tomsone; Partners Indriķis Liepa, Sandija Novicka, Uģis Zeltiņš and Toms Šulmanis; Specialist Counsels Elīna Ločmele, Kristīne Patmalniece and Mārtiņš Tarlaps; Associate Vadims Zvicevičs; Senior Associates Kristīne Rāviņa, Juris Grantiņš, Krista Helmūte and Toms Dreika; Junior Associate Kārlis Ošs.
Estonia: Partners Martin Simovart and Jesse Kivisaari; Specialist Counsel Madis Reppo; Senior Associate Heleri Tammiste. Related experts: Partner Karina Paatsi; Managing Associates Mart Blöndal and Tõnu Kolts; Senior Associates Helen Sool and Heili Haabu; Associates Ken Saksniit, Heivo Reinek and Chris Oliver Rahumägi.
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