07:47 AM EDT, 09/30/2024 (MT Newswires) -- Verizon Communications ( VZ ) and Vertical Bridge said Monday that they signed a definitive deal that will grant Vertical Bridge exclusive rights to lease, operate and manage 6,339 wireless communications towers from subsidiaries of Verizon for about $3.3 billion.

The transaction is in the form of a prepaid lease, with upfront proceeds of about $2.8 billion in cash, according to the companies.

Under the deal, Verizon will enter into a 10-year agreement to lease back capacity on the towers from Vertical Bridge, with options for lease-term extensions of up to 50 years, according to the statement. The companies said the agreement also grants Verizon certain additional space on the towers for future use, subject to a number of restrictions.

Verizon Communications ( VZ ) and Vertical Bridge expect to close the transaction by the end of the year.

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