Thank you for the write-up. I came across your substack by searching for some insights regarding Sitio Latinamerica. I am new to the tower business, so appreciate your insights! I like the leverage of the bet, an increase in EV equals a 10x increase in marketCap. Interest payments don’t seem of any concern in the near future. Seems that there is a lot of selling pressure from the spin-off. But I have difficulties valuing the assets. My rough estimate is between 4.9B and 6.9B EV. + I am missing a catalyst. Looking at its previous Spin-Off Telesites (SITES - Operadora de Sites Mexicanos SAB), which is the Mexican equivalent to SITIO Latinamerica, there hasn’t been any appreciation for the assets so far…
Medicar Sur seems very interesting at current valuation and private hospital servics are big through central and south america. Wil likely do some more research.
Thanks for your response. The dependency on America Movil is an issue for me. Competitors are probably not likely to make extensive use Sitios given the dependence. Higher prices from America Movil are also not likely.
That being said at some price point it becomes attractive.
Do you know of other listed hospital operators in Latin America?
Thanks again Wubbe, I hadn't come across Medica Sur but it looks too cheap at a glance. I have followed Megacable for some time and like the set-up there. My experience with these Latam telecoms has been mostly very frustrating, but I can see it doing very well over the long-term.
Thanks! Always good to receive feedback on my research!
Setup at MegaCable sure is interesting!
I was surprised with the amount of overbuilding in Mexico though. Worried that when they scale back their investment a competitor is going to build on the older parts of their network.
Thank you for the write-up. I came across your substack by searching for some insights regarding Sitio Latinamerica. I am new to the tower business, so appreciate your insights! I like the leverage of the bet, an increase in EV equals a 10x increase in marketCap. Interest payments don’t seem of any concern in the near future. Seems that there is a lot of selling pressure from the spin-off. But I have difficulties valuing the assets. My rough estimate is between 4.9B and 6.9B EV. + I am missing a catalyst. Looking at its previous Spin-Off Telesites (SITES - Operadora de Sites Mexicanos SAB), which is the Mexican equivalent to SITIO Latinamerica, there hasn’t been any appreciation for the assets so far…
Medicar Sur seems very interesting at current valuation and private hospital servics are big through central and south america. Wil likely do some more research.
Thanks for your response. The dependency on America Movil is an issue for me. Competitors are probably not likely to make extensive use Sitios given the dependence. Higher prices from America Movil are also not likely.
That being said at some price point it becomes attractive.
Do you know of other listed hospital operators in Latin America?
Thanks again Wubbe, I hadn't come across Medica Sur but it looks too cheap at a glance. I have followed Megacable for some time and like the set-up there. My experience with these Latam telecoms has been mostly very frustrating, but I can see it doing very well over the long-term.
Thanks! Always good to receive feedback on my research!
Setup at MegaCable sure is interesting!
I was surprised with the amount of overbuilding in Mexico though. Worried that when they scale back their investment a competitor is going to build on the older parts of their network.