PG&E To Sell Licenses For Transmission Tower Wireless To SBA Communications

(RTTNews) - Pacific Gas and Electric Company (PCG) Tuesday said it agreed with a wholly owned subsidiary of SBA Communications Corp. (SBAC) to sell its license agreements with wireless providers that attach their equipment to certain electric transmission towers and other utility structures.

The deal also allows the SBA subsidiary to continue to market and sublicense access to the towers and structures to additional wireless providers and PG&E will receive a portion of that future revenue.

The sale of these licenses, which apply to over 700 towers, is expected to generate $973 million in initial proceeds. PG&E is not selling any transmission towers as part of this transaction.

PG&E is also entering into a strategic relationship with SBA, through SBA's wholly owned subsidiary, to sublicense and market equipment at additional attachment locations on up to 28,000 transmission towers across PG&E's extensive network.

PG&E said it expects the proceeds from the agreement to help further reduce its financing needs and strengthen its financial position.