SAN DIEGO-Qualcomm Inc. announced the closing of its sale of Vesper S.A. and Vesper Sao Paulo S.A., including their holding companies Vesper Holding S.A. and Vesper Holding Sao Paulo S.A., to Embratel Participacoes S.A.
Vesper is a wireless local loop operator in Brazil.
Through the sale, Qualcomm has retained ownership and control of Vesper’s existing 622 communication towers and related interests in tower site property leases through a newly formed subsidiary, TowerCo. Upon the closing of the Vesper sale, the companies entered a 10-year agreement under which Vesper will pay monthly fees for non-exclusive use of the tower sites.
Separately, upon closing of the Vesper sale, Bell Canada International paid $12 million to be released from its obligations under guarantees provided to Vesper’s Brazilian banks. BCI also disposed of its remaining 1.5-percent indirect equity interest in Vesper. The transactions are expected to garner BCI approximately $10 million for the fourth quarter of 2003.
