Lumen Technologies (NYSE: LUMN) said today that it has formally closed the sale of its Latin American operations to Stonepeak for 2.7 billion dollars cash. This Latin American business is called Cirion, which operates as an independent portfolio company of Stonepeak.
Main points:
- Lumen and Cirion have established a strategic relationship to serve both companies’ customers in the region, who will benefit from this continued partnership.
- of 2.7 billion dollars the transaction provides additional capital to enable Lumen to invest in key growth areas and support the company’s other capital deployment priorities, including ongoing debt repayment.
- Stonepeak has appointed Lumen’s LATAM Regional President, Facundo Castro, as the new CEO of Cirion and is retaining the current executive team and existing employees. Cirion has also added several new hires in recent months to the company’s executive team, all of whom bring extensive experience in the sector across the region.
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“This sale is an important step in achieving Lumen’s strategic goals as we emphasize our focus on key strategic assets while also providing our LATAM employees and customers with an opportunity for continued growth,” said Jeff Storey, President and CEO of Lumen. “This transaction also positions our Lumen Platform for long-term growth, allowing Lumen to invest in a strategic mix of assets and alliances that allows us to deliver what our customers want anywhere in the world.”
Lumen and Cirion have established a strategic relationship to serve customers in the region. It includes reciprocal resale and network agreements that leverage each other’s extensive fiber footprints, data centers and other network assets.
“We share Jeff’s enthusiasm for the Cirion opportunity Latin Americagiven the platform’s strong footprint and ambition to continue expanding its fiber network and data centers across the region,” said Andrew Thomas, Stonepeak’s Managing Director and Co-Head of Communications. “We are excited to partner with the Cirion team and apply our experience as active investors in global digital infrastructure to drive sustainable long-term growth.”
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