(Reuters) - AT&T Inc (T.N) said on Friday it had struck a sale-leaseback agreement valued up to $680 million with private equity firm Peppertree Capital Management for about 1,000 wireless communication towers.
Peppertree will purchase more than 1,000 AT&T towers, and the telecom operator will lease back capacity on the towers from Peppertree.
The deal comes as the second-largest U.S. wireless carrier aims to cut its huge debt pile, which stood at $157.79 billion as of end-June, according to a regulatory filing.
AT&T expects to close a substantial number of towers by the end of the year.
In 2013, AT&T agreed to lease the rights of about 9,100 company-owned wireless towers to Crown Castle International Corp (CCI.N) for nearly $4.85 billion.
AT&T has been facing pressure from activist investor Elliott Management to end its acquisition spree and focus on improving its business.
The company is set to report its third-quarter results on Oct. 28.
Reporting by Ayanti Bera in Bengaluru; Editing by Maju Samuel