‘Project Sky’ transaction will have a ‘positive impact’ on BMIT’s longer-term margins, says CEO

BMIT Technologies plc CEO Christian Sammut has anticipated the acquisition of passive tower infrastructure from GO plc to have a “positive impact” on the technology company’s longer-term margins.

He was commenting as the cloud, infrastructure, and cybersecurity company on Wednesday announced that its shareholders resoundingly approved the transaction, referred to as “Project Sky”. By way of this transaction, BMIT will be acquiring approximately 280 sites and towers, in the process taking over the ownership and management of the rooftops on which GO have installed or will be installing, active equipment to run their mobile services to subscribers.

Once under BMIT’s ownership, the company will oversee maintenance and upgrades, while allowing GO continued access for their operations and provision of mobile services on their network. As part of the agreement, GO will be required to install and deliver to BMIT an additional 30 sites by the end of 2030.

BMIT said that it will be acquiring the infrastructure for a total consideration of approximately €47.1 million.

Ing. Sammut said that he and the Board of Directors are “very happy” that the transaction has received the full backing of its shareholders.

“Project Sky will have an immediate impact on our revenue and performance, strengthening the company while further diversifying and improving our growth profile and revenue base,” he added.

“Project Sky will also have a positive impact on our longer-term margins and help us reduce our dependency on specific sectors,” Ing. Sammut explained.

Through this new vertical, BMIT is building on years of experience in its core infrastructure and data centre business, while also continuing to “pave the way” for its transformation into a “hybrid IT solutions provider”, he continued.

He concluded by saying: “Moreover, it ensures a stable and guaranteed source of revenue which will help us achieve our objectives in years to come.”

The acquisition was approved by 99.99 per cent of the company’s shareholders during an Extraordinary General Meeting on Monday.

The cell towers are passive structures that are made up of items such as beam reinforcements, poles, counter-balances and stays, placed on rooftops or ground of third party commercial or residential premises, for which GO is currently liable for lease payments. Through the acquisition, BMIT will be positioned as a Maltese “InfraCo” (infrastructure company), backed by long-term, contracted revenues. The move will see GO reduce its operational burden and to instead focus its efforts “more intently on its core business”.

BMIT is a technology company that provides infrastructure, hybrid cloud solutions, and advisory, implementation, and management services. It helps design, build, modernise and manage the systems that clients rely on for growth, security, and success. It is a majority-owned subsidiary of GO.