Vantage towers: infrastructure behind the digitalization - equity valuation in a transaction-driven market

Abstract

This report values the business of Vantage Towers, an infrastructure/tower company, yielding to a price of €29.18 based on a market-driven business plan. This is lower than the trading price (€36.92) and the delisting price (€32.00) offered to the shareholders in March 23. The current trading price may be influenced by remaining shareholders being squeezed-out. Certain factors like transaction multiples point towards an overheated market, influenced by (so far) unforeseeable growth expectations, new revenue streams beyond the existing market size and institutional investors stepping into the market seeking for other value creation. A sales recommendation is given to the shareholders.