Stonepeak-backed MIDC Completes Combination with PhilTower

September 15, 2024 at 20:01 PM EDT

Transaction creates one of the largest independent telecommunications towers companies in the Philippines

Stonepeak, a leading alternative investment firm specializing in infrastructure and real assets, today announced that Miescor Infrastructure Development Corporation (MIDC), its joint venture with Meralco Industrial Engineering Services Corporation (MIESCOR), has completed its combination with Phil-Tower Consortium Inc (PhilTower). The combined company (JVCo) will continue to be backed by a consortium of MIDC and PhilTower’s existing investors including Stonepeak, MIESCOR, Macquarie Capital, and Global Network Inc.

This transaction creates one of the largest independent telecommunications towers companies in the Philippines. Together, MIDC and PhilTower are well positioned to address the region’s growing demand for 4G and 5G mobile network connectivity. With a portfolio of over 3,300 operational towers and continued investment in the Philippines’ digital infrastructure, JVCo will provide improved coverage for its mobile network operator clients including Globe Telecom, Inc. (PSE: GLO), Smart Communications, Inc., and DITO Telecommunity Corporation.

Darren Keogh, Senior Managing Director at Stonepeak, said, “The joining of MIDC and PhilTower will allow for the more effective delivery of critical digital infrastructure through its combined footprint, helping to bridge the digital divide in the Philippines. This is an exciting milestone for both MIDC and PhilTower, especially given the support and demand the Philippines mobile tower industry is realizing. We look forward to working with our partners in the combined entity as it seeks to become a market leader in digital infrastructure.”

Devid Gubiani, Chief Executive Officer of JVCo, said, “I am confident that the combination of MIDC and PhilTower’s unique strengths and competencies will further digitization objectives in the Philippines as the country’s younger generation continues to drive exponential data consumption. The MIDC team’s expertise and portfolio are highly complementary to PhilTower’s, and together with our partners we will have the ability to make a real difference through the delivery of world-class telecoms infrastructure and services to our customers.”

Ricky Steyn, Chief Operating Officer of JVCo, said, “This combination unites two successful telecoms companies in a transaction that will bring both enhanced, quality digital infrastructure to Filipino consumers and meaningful value to MIDC and PhilTower’s partners. I look forward to working closely with Devid and the rest of the JVCo management team as we work to successfully integrate MIDC and PhilTower and deliver on the potential of the combined company.”

Stonepeak has an established presence in Asia Pacific with 52 professionals located across Singapore, Hong Kong, Taipei, Seoul, Tokyo, and Sydney. The firm first announced the creation of MIDC as a joint venture with MIESCOR in August 2022, and this latest transaction is a continuation of Stonepeak’s digital infrastructure investment strategy the region. In 2020 Stonepeak also established Singapore-headquartered Digital Edge, a diversified Asia Pacific data center platform that aims to transform digital infrastructure in the region through building and operating state-of-the-art, energy efficient data centers rich with connectivity options.

About Stonepeak

Stonepeak is a leading alternative investment firm specializing in infrastructure and real assets with approximately $71.2 billion of assets under management. Through its investment in defensive, hard-asset businesses globally, Stonepeak aims to create value for its investors and portfolio companies, with a focus on downside protection and strong risk-adjusted returns. Stonepeak, as sponsor of private equity and credit investment vehicles, provides capital, operational support, and committed partnership to grow investments in its target sectors, which include communications, energy and energy transition, transport and logistics, and real estate. Stonepeak is headquartered in New York with offices in Hong Kong, Houston, London, Singapore, and Sydney. For more information, please visit www.stonepeak.com.