The Tower Deal involves MNOs selling their network infrastructure to a TowerCo Investor. The resulting deal is shaped by four fundamental variables: the Tower Purchase Price, the Net Book Value of MNOs assets for sale, the MNO Deal Value, and the Investor's IRR. The MNO Deal Value is calculated based on a cash flow analysis of the NPV differential between post-deal cash flows from lease fees and pre-deal cash flows from operating costs and cost of capital. The TowerCo Investor determines the minimum accepted level of profitability, which is the Investor's IRR.
