over to Alejandro Plater, CEO of A1 Group.
Thank you, very much, and welcome to this Capital Market Day. I mean, the first one that we have done in quite a long time. Of course, this time we have a special occasion, since we will go a little bit more in details in the creation of EuroTeleSites. So we have prepared a little bit of an agenda for you, where we will cover a little bit the A1 investment profile. A little bit going back into history, what we have done so far, what are our plans into the future.
Thomas will cover a little bit more details on the transaction per se, including the impacts on A1, and then we will hand over to the new management of ETS to go through more in detail into the tower business and the future company and the future plans of the tower company. So that's basically what we have prepared for you. We will have two blocks for questions, one after the introductory part about the A1 Group, and then there's gonna be another Q&A after the ETS presentation. So if I move forward, let me give you in a nutshell what A1 stands for. We are the leading telco company across Austria and part of the CEE.
We have a well-balanced performance, you know, a mixture of stability in Austria. I will go a little bit into details there, with high growth in the CEE countries. I will also show to you some data supporting that statement. We have been growing very solid. We have a very solid balance sheet as well, you know, a sustainable dividend policy. We will cover a little bit more details on that. So today, we have EUR 5 billion in revenue. This is 2022 full year data, EUR 1.8 billion EBITDA, 27 million customers throughout our footprint, and we have roughly 18,000 employees.
If I go a little bit more in, in the composition of our business, you can see in the upper left part of the graph, in which position we are in each market, which gives you also an indication of our future prospects as well. Where do we see growth potential? So of course, in Austria, we are the former incumbent, with high market shares in mobile and high market shares in, in fixed, and, we're very well developed, B2B digital or ICT, business. We have almost 50% market share, in the market. In the other countries, in the CEE, you can see that we are more the second player, the challenger player. In some countries, we are more, a strong position, like in Bulgaria or Croatia, in another, more the challenger, like in Slovenia and Serbia.
When you see, basically the, the business, like, roughly 50% of our business is coming from, from, Austria in terms of revenue and EBITDA, a little bit more on cash flow. And you see also that the growth profile of these two platforms is pretty different. So you see in the first half of 2023, that our growth in Austria was close to 3%, where in the CEE market was above 10. So you see this combination of a very solid platform with high market shares in Austria, with a very stable business and a lot of growth potential in CEE. And as we will move forward, you will see that, that, that performance could be maintained, over time. Yes, please.
So let me go into a little bit more details of what Thomas and myself, we have been doing the last 5-6 years, together here in the company. So you see that our revenue growth has been almost 3%. Taking into account that 2020, we saw a little bit of a reduced revenues due to the corona impact. Otherwise, the curve would be a little bit higher than that. Very consistent EBITDA growth, also of 3%-4%, basically with a very stable cost platform while enjoying the revenue growth. We're converting the majority of this revenue growth into EBITDA and therefore as well in cash flow.
You also see, some issues on 2020 and 2019, you know, but after that, you can see that, free cash flow has been growing, very well. And hence, our dividend policy has been, also reflecting this. As... We state in our dividend policy that as our operational performance improves, our dividend policy will also be improved, and you see in, in the graph how this has been reflected over the years. Now, we always look at our peers, and we have been doing this analysis for now many, many years, where we take the same peer group and we will compare our performance to the peer group. And, this, we have selected basically companies in Europe that have a similar profile as we do.
Basically, you can see there that we have been outperforming in revenue growth as well as in EBITDA growth for our peers in Europe. And that performance has accelerated, actually. When you look at the right columns, you will see that the gap between us and our European peers has accelerated in the last couple of years. So, it's an indication that we are taking the right decisions on how we are addressing the market. And the other thing that was very important for us, and it was a focus area, was to work on our leverage level. And there you can see that we have been reducing our leverage level substantially. I think we had a peak of something around 3.5x.
Now, after the spin-off of ETS, we will be around 0.4. Of course, we think that this is a suboptimal capital allocation, and we will cover what we are planning to do with this, because we don't think that this is the leverage level that we should keep on the long run, and we will cover this a little bit more moving forward. Of course, all these activities, the performance, the deleverage of the company, has been reflected in how the rating agencies are looking at us. You can see basically, in this case, Standard & Poor's, but you can look also at the other credit agencies, how they have been improving our rating over time. Now we are rated among the best European telcos.
You can clearly see that performance. So that is basically looking a little bit back. But let me tell you, give you a little bit more insights, what has been the drivers of this performance, where we have been focusing the last couple of years to generate these this performance. And in as a nutshell, you know, and to just select a few of those drivers, we'll be focusing four. So one is we decided to go mono brand. So we were operating with several brands in several countries.
Not only one different brand per country, but also we had an array of different brands within a country, which was created in our analysis, a little bit of lack of a clear proposition of positioning of the companies in the market. So that was an area where that we focused. The second one was the B2B digital portfolio or the ICT portfolio, where we thought that there was a lot of growth potential by upselling customers from connectivity into more digital and ICT solutions. The third one is a lot of focus in commercial execution. I will cover a little bit some insights there. And the fourth one was this concept of one company, which was one to many, not let's remove silos, not let's not do things seven times.
I will cover a little bit, some insights on what we have been executing on that. But if I move into the unified brand, this is a study, you have the reference in the bottom of the page, that we have seen, that as soon as we migrated into a mono brand, as soon as we have put all our efforts in terms of investments, communications, and a more clear proposition and value proposition to our customers, the value of the brand, A1 brand, has increased basically three times. This is an Austrian study, but you can clearly see how much the A1 brand value has increased. Now, we are the third most valuable brand in Austria, after, you know, very famous brands as Erste and Red Bull.
So the way to position, reposition the company as a premium telco player in the region, not only in Austria, we believe that has paid off. If I move into the digital portfolio, and this is something that we have been working a lot, and I think that moving forward, you will see that we are thinking that we can even materialize even more opportunities. This has been the growth, average growth rate the last couple of years, our digital B2B portfolio, where we have been growing average of thirty-four percent. So that's basically four or five times faster than the traditional telco business. And we see a lot of a lot of potential here, not only in the digital portfolio, but also in the managed portfolio.
I will cover that a little bit when we talk about how we see growth into the future. We see these trends, we call it a Managed Everything, Managed IT, Managed Security, Managed Connectivity . So we see this, this big trend of companies offloading more and more responsibility to companies like us. But until now, we have been focused a lot on the digital portfolio. You see the, the growth rates, and just an example of what kind of new services we have been able to develop and to monetize. If I move forward, and there was a lot of focus on commercial strategies, and commercial excellence. So the majority of our efforts was about how to upsell the base smartly, and I think most of our revenue growth is coming from upselling the base.
Of course, we have also growth in new customers, but there was a lot of focus in upselling the base smartly. In Austria, a lot of focus in upselling the fixed base to higher speeds. We have discussed this in many of our investor calls, the focus on upselling, upselling, and how to monetize that slowly and surely. Every step, we should see some value being created in terms of the speed that we deliver. In the future, we will focus in something else. I will show you a little bit, something that we call Connectivity Plus, which is how to take this concept of improved speed to all the rooms of your household. I will show a little bit more detail on that. Also, big investments and focus in having the best mobile networks.
Except one country today, we have the best mobile networks basically everywhere, or we are second, very close to the first one, which is our target, target to be number one or second, very close to the first one. You see some examples of, of prices that we have, won. It's a value proposition that for us is very important in our market. It's part of the A1 brand. And two more comments. One is, especially in Austria, but in all the other markets, we have been working in the fixed platform with a more technology-agnostic approach, where depending on the quality of our infrastructure and customer needs, we were playing with fiber assets or, or, or fixed assets as well as FMS or cubes.
You have seen that through all our calls, how we were playing this market, we call it internet at home, trying to take ourselves from the discussion, is this fixed or mobile, and focus more in what creates value for the customer, as we call it in our strategy, how to become relevant to our customers.... The last one, which we don't talk a lot, but it was also very important, we have been very active doing small M&A, focusing primarily in how to complement either the infrastructure that we own in the countries or the portfolio that we own in the countries. If we move to the next one, you will see basically a list of companies that we have acquired in the last six, seven years, and we have invested EUR 500 million.
Despite of this, we managed to lower the debt substantially. So we have been very targeted in buying either companies that were complementing infrastructure, especially focusing on the fixed, and on the other side, complementing the portfolio, especially the ICT portfolio, as we did a few acquisitions in Austria. The third concept that we were focusing a lot on, fourth, sorry, is this concept of one company, and this was a big change for the company: how to move out from this silo country thinking in more a common multi-country platform. And then you see a little bit of concrete examples that we have been implemented, like a standardized SAP system, a standardized security platform, and in the go-to-market, a standardized TV platform. So a lot of solutions.
Since we operate in relatively small countries, we cannot afford to have, you know, one solution per each country. We need to go into more multi-country approach in terms of back-end platforms, but also front-end platforms, like the TV efforts that we are doing. That has created a lot of better time to market. So now we are in a situation where we are able to develop solutions faster than our ability to deploy it in the market. In the past was exactly the opposite. Having said that, I need to talk a little bit about what we are planning to do moving forward. In some areas, it's reinforcing what we are doing, in some areas, is changing a little bit what we are doing. So this is a view for the next 3, 4, 4 years.
So what you see now is our strategy, and our strategy is focused basically, as we call it, the human in the center, because we believe that the employees are in the center of our transformation, and we want to make that very visible. But for the sake of time, I will focus only in two aspects of our strategy. One is something that we call move the organization from a product-oriented organization into a customer journey-oriented organization. So if I move into that a little bit, we see two big trends, you know. Of course, we see that there is a need for consumers in this time to be offer a little bit more personalized offer.
Personalized offer doesn't mean that we need to offer the right solution, but what is even more important is at the right time, you know, and we are very far away from this. Still, our upselling and cross-selling activities are not very personalized, not in the type of offer, neither on the time of the offer. We have a lot of synergies to win out of that if we just manage to create this customer journey-centric organization, where we focus on these two concepts: the what and the time, especially. Also we see that's in the residential segment or in the consumer segment. On the business segment, we see this big trend of, as we call it, managed everything.
So we see this trend starting with large corporations first, but we believe that it's gonna move more and more to SMEs, that companies wants to move from sourcing connectivity to moving more as connectivity as a service, with this combination of fiber asset plus SD-WAN, and then you move security as a service, and then you do IT as a service. So we are seeing a big trend in the, in our footprint on this managed everything. And for us, it's a great growth opportunity if we manage to come up with a good strategy, how to customizing the front end, but standardize in the back end. I don't have time to go through all of this now, but maybe we can put it as a talking point in one of our investor calls.
When we talk about the journeys, there is a lot of discussions and there is a lot of change that we as a company has to do to implement this, because there is a lot of change in the mindsets, our organization, as well as how we measure these things. This is related very much that instead of trying to optimize products and customers, we will need to try to optimize value on the lifetime of the customer, and how to extract the most of the value out of this. This is what we are implementing now in the organization. I think it's gonna be a big change in terms of the thinking from moving into a product-oriented organization, into putting more the customer in the center and the journey as a identifying the value proposition.
The other area where we want to focus a lot is to evolve this concept of what best network is, what best quality is, to again, put more the customer in the center. And then we created a concept that we call Connectivity Plus. So today, we have been focusing a lot on Best Network Program, which is basically this quality of the speed, something that we call the integrity index. It's not only the speed, it's the latencies and a few factors that we measure on the integrity of the network. So that's what we have been focusing the last couple of years, on the Best Network Program, which was focusing a lot on integrity of the network, which is the service at the phone or at the model.
Now we want to move into new concepts that we started to work on. One is from the network to the device, and we have a lot of work to do there, not only in the mobile part, but especially on the fixed network. When you talk about the type of devices that we have in the households, how many devices, how is the Wi-Fi connectivity, the quality of the Wi-Fi connectivity? There is a lot of dependence in the quality of the Wi-Fi, in the type of devices, type of modems that we use in the households, and we are doing a modernization program on that, and we believe that this will improve customer experience a lot. But we don't stop there.
Then we want to work on the application aspect, so the streaming quality end-to-end, not now the bandwidth, but now the streams within the bandwidth. And we are doing a set of activities to start to ensure the quality of those streams. And then there is the last one, which is, like, our biggest ambition, to just not think about the quality in terms of network, device, and applications, but the end-to-end journey of the customer, which includes other aspects of these journeys. So basically, all this results in an ambition moving forward, with this ambition for the next three years.
So assuming that currencies will develop as expected, especially the Belarusian currency, and assuming that inflation will develop as we expect in our plans, we expect a revenue growth between 3% and 4% for the coming years. An EBITDA growth of 4%-5%, a stable CapEx for the next three years of accumulated EUR 2.8 billion. With dividend, we see it as a baseline of EUR 0.32, with the same comments as before. Improvements of the dividends will be basically based on our operational performance. If our operational performance keeps of improvement, we will reflect these improvements in our performance in our dividend policy.
So having said that, I would like to hand over now to Thomas to drive us through the transaction in more details, and also the implications in our company. Thomas?
Thank you, Alejandro. Before we go into more details on the transaction, in order to explain the rationale for the transaction, let's maybe take a little bit of a step aside. When we have been thinking about the transaction, we have been thinking a lot in the past years looking into adjacent business models. Alejandro has described a few and few steps we take to respond to new players, which address our business model as an integrated telco. So, for example, the moves into the ICT business in the B2B segment, Alejandro has just described, or our ambitions to scale up our business or to make our business more customer-centric in order to address the hyperscalers.
So now, if you look into the infrastructure part, this is a bit more specific, and we have seen over the past years the number of infrastructure companies arising into the market, which are very different business models than we do have. And the specifics here are, we see much higher valuations than in an integrated telco, three times or even more, as you can see on the slide. These infrastructure companies have much higher debt capacity. They have the ability to address additional revenues outside of the integrated telco model, coming from our competitors.
At the same time, we were asking ourselves: do we have the ability to address these new additional businesses within our core business, or do we have to take another step? And one of the main reasons we have decided to separate is that we do believe that these infrastructure businesses, they require more independence, and also because we do believe that this business model is not as core to our activities as other areas, where we want to invest into the fiber deployments, where we wanna invest into making our business more customer-centric, where we wanna invest into the ICT business. And why is that?
Now we take a little bit on the next slide, and I think for most of you, this is a reminder, a look into what we actually talk about when we look into this transaction. You see here on the upper part of the slide, two examples of typical sites. On the left-hand side, a rooftop site, which you would find typically the areas on roofs, and on the right-hand side, a so-called greenfield site, which you would find typically more rural or not so densely populated areas. What is depicted here in blue is the passive infrastructure, which is transferred to the new company, to EuroTeleSites, which is typically very capital intense. It does not carry any signal-...
It can be rented to other tenants, and we do believe that it is non-core for our activities. Whereas on red, you see what is retained, which is typically retained in A1, which is typically everything which carries a signal. The radio antennas, they are used, the networking equipment, the antenna feeder cables, the backhauling equipment, such as the microwave systems. This has significant influence, for example, also network quality. It is connected to the other parts of the network, and we do believe these active components are so core to our business that we decided to retain them within A1. Now, we are talking about close to 15,000 sites, 13 thousands of, a bit more than 13,000 macro sites.
So these big sites, which you see depicted here on the slide, half of which are roughly in Austria. Ivo and Lars later on, when we are in the TowerCo part, in the EuroTeleSites part, we go into more detail on the specific countries and then on the specifics of the sites. So what is happening now on the date when we go live, you see here on this slide, this is a very simplified picture of the result after the spin-off, which will be a proportionate spin-off. Meaning that every shareholder of for Telekom Austria shares will get one share in EuroTeleSites.
The company will be listed at the Vienna Stock Exchange, and because it's a proportionate spin-off, the shareholder structure, as at the first day of listing or at the spin-off, will be exactly the same, as you, as it is, before that. Meaning, América Móvil and ÖBAG, as two core shareholders in a free float of currently around 15%. Beneath the two companies, which will be independent, from, from each other, you see, the, the local operations which hold the participations, in the local TowerCo. As you know, Belarus, is excluded from this transaction, so you don't see it here on the tower slide. The Austrian towers will be held by a, a holding company beneath the, EuroTeleSites AG, directly for a number of tax and other reasons.
When we talk about the transaction rationale, we considered actually a number of points of views. Obviously, for A1, as I just pointed out, for us, it's key to focus our management capacity, to focus our investment capability on what we believe truly makes the business in driving this strategy forward, Alejandro has just described. We will also have increased capital financial flexibility. As it was described earlier, we will transfer EUR 1 billion of financial debt from A1 to EuroTeleSites, which will significantly increase our financial flexibility and will lead to a reduction of financial debt of EUR 1 billion. On the EuroTeleSites, we will have a management which is laser sharp focused on driving this tower business, on gaining efficiencies in driving this business, but especially also into addressing the new revenue streams.
You have to think about it the way that, in the past, these local tower companies, they were, in terms of headcount, probably, small departments in a large, integrated telco organizations. Now we have, as I said, laser focused management on that, which will drive the business. So what does it mean for you, for our shareholders? As I said, so on the other side, and I think as it's evident on the market, these assets, tower companies, they benefit from significantly higher valuations. And we believe with this transaction, we are in a position to uncover these differences in valuations. You typically see multiples three times higher than in an integrated telco, or sometimes even more.
As Alejandro just described, A1 will keep a sustainable dividend policy. EuroTeleSites, the transaction will allow us at the same time to strongly deleverage the company, which gives us, as it was just described, a lot of flexibility going forward, and both companies will benefit from robust free cash flows. When we look at the impact on A1, and I'm focusing here now on A1, you will get all the details on EuroTeleSites in the second part of the presentation, let me point out the following. On an operational side, the impact for A1 will be very limited.
On a financial side, on a balance sheet, first and foremost, again, a reduction of financial debt of EUR 1 billion, which brings down our leverage in terms of net debt, excluding leases over EBITDA after leases to 0.4 x. If you include the leases, obviously, our net debt over EBITDA would increase to 1.3. Our total asset base will increase slightly by 7%, which is due to the additional lease liability, which we will have in our books. On the P&L side, revenue-wise, very little impact, 0.2%, and these figures are assuming 2023 figures. So very little impact on the revenue side.
This is basically coming from a transfer of the third party revenues from which we currently already have in A1 to EuroTeleSites. On the EBITDA, + 1% because some of the OpEx is transferred into leases. EBITDA after leases, obviously impacted by the higher leases, - 11%. On the net result, we have a mix of effects, mainly coming on the one hand side to higher leases. On the other side, due to the lower interest rates we have to pay on the reduced financial debt, and hence, also a slight reduction of income tax.
On a cash flow, on average, an impact of -EUR 60 million on A1, driven by the higher lease rates, which on the other side has also been balanced with the reduction of financial debt of again EUR 1 billion. What we wanna point out is that because of tax reasons, we do have a negative impact in the Q3 of EUR 36 million because of the specific stamp tax, which is unavoidable in Austria. If you move to the next slide and look into the future relationship between A1 and EuroTeleSites, which is governed by a master lease agreement, which is very comprehensive, but I wanna point out the most important terms of this agreement.
Of course, this is planned to be a very constructive, a very long-term relationship, as EuroTeleSites will be the main vendor of A1, and A1 will act as the anchor tenant for EuroTeleSites for many years to come. So the contract duration is, in principle, indefinite. However, we have certain termination rights. On the A1 side, this is after the end of the 8th, the 16th, and the 24 years, so 3 + 3 + 3 years. EuroTeleSites has the first ordinary termination possibility at the end of the 24th year. After that, each party can terminate the contract at the end of the calendar year. However, there is a 36-month notice period. Inflation protection, especially in these times, important to point out.
I think we have been very much aligned with the market when we opted for a way that rents and other main elements of the MLA are increased by 85% of CPI increases in the relevant markets. However, there is a 3% cap, and for steel prices, we follow the steel price index. On the provider side, we are, as A1, free to choose our tower providers, however, and we are also free to choose third party TowerCos . However, we will be closely aligned to each other, and we currently plan to roll out an additional roughly 1,000 sites with EuroTeleSites over the next five years.
In a transitionary period, obviously, also A1 will keep providing temporary certain services such on the IT side or HR side, to EuroTeleSites, of course, at arm's length prices. And in the unlikely event that EuroTeleSites runs into operational, financial difficulties in one of the operations, A1 would have this theoretic buyback right of the assets. So, to sum it up, again, as Alejandro explained very well in his part, we do believe we are the, or at least one of the best-performing telcos in Europe. If you look at it from a revenue growth perspective, from an EBITDA perspective, but also from a balance sheet structure, which we managed to deleverage strongly over the past year.
...We have a strong strategy going forward based on our unified brand, based on the ambition to move to more customer-centric, customer-centric views, based on the ambition to address the growth opportunities we, for example, have in the B2B segment. And also based on the unified platform we have built out, we have managed to build out over our footprint, and which we intend to drive further. And of course, with this spin-off of non-core activities, our flexibility, especially in the capital the capital allocation will increase.
We will have a very low leverage, suboptimal, as Alejandro call it, but it will, at the same time, give us significant flexibility on the management side, but also on the capital side, but also on the management intention side, driving further our business. So with that, thank you for listening, and I'm handing over for Hans to moderate, the Q&A.
Thank you very much. Thank you, everyone, for following this first part of the Capital Markets Day. Let us now hand back to our operator, Emma, to guide us through the Q&A session, please.
And gentlemen, we will now begin the question -and- answer session. Anyone who wishes to ask a question may click the Here button on either the browser or phone, which you can find in the text on the right side of the screen. Once you are connected, please press star followed by one on your telephone keypad. As a reminder, star followed by one if you'd like to ask a question on the phone. One moment for the first question, please. First question is from the line of Adam Fox-Rumley with HSBC. Please go ahead.
Thank you very much for the presentation. I had two first questions, please. One was, it's interesting to hear the evolution of the strategy to talk more about security and then IT over time. And I wondered what role, in particular on security, work would be done within Telekom Austria versus kind of partnerships with third parties. How do you think about that balance? And on the IT side of things, you know, in the past, that has been a tricky area of the telecoms companies, particularly when it comes to kind of making sure the profitability is right, not being overly committed with capital and so on, how you think about the challenges that doing more in that space will entail?
Then the second question I had is on the balance sheet, and then to a degree, of I guess, the tension of the leases. Because although you say that your net debt to EBITDA is falling dramatically, as it is post the transaction, your net debt, including leases, goes up a little bit. You've recently had a, you know, final rating upgrade. Presumably, they've taken the including leases leverage target into account. So can you talk about when you say that the balance sheet is unlevered at this point or suboptimal at this point, what does optimal look like in the including leases, ratio sense? Thank you very much.
Well, starting with the first part of your question. We see not the traditional managed services as our ICT future. We see that's why we want to look at it a little bit different. So usually we start with a customer that has connectivity already with us, more probably MPLS networks, VPN networks, you know, and we gradually move them to more SD-WAN networks, to managed, more managed connectivity networks. So that's step number one, when profitability is acceptable, acceptable levels. As soon as customers are starting to move from connectivity into managed connectivity, which is usually a combination of fiber with SD-WAN assets, maybe some mobile connectivity as well, included in that ecosystem, the discussion goes automatically into security, you know.
Some customers at the beginning doing managed VPNs, then they do managed firewalls, you know, then we put the firewalls in the cloud, you know, and that goes on like that. So then you move into managed security, and that is, it's a profitable business because it's a very highly skilled managed work. It's not this traditional, you know, low-value IT work, like desktop services, all those kind of things that were very low-margin business. This is more profitable business because it's a lot of consulting there and a lot of high-skilled competence there. That is very difficult to build, but afterwards, it's very difficult to replicate.
Once you have managed connectivity, and then you have managed security, it's easier to help customers basically to do managed IT by moving them to the cloud. And by moving them to the cloud, we offer always, and this, we are still at the beginning, we will offer them a combination of our own private cloud. You know, we have a company called Exoscale, as you, you probably know, that where we own the company, we own the software, and of course, the profitability there, is, is different when you resell on a hyperscaler. But we will also resell a hyperscaler, because we see these IT, managed IT as the task to migrate customers to the cloud.
We are doing this exercise ourselves, you know, because we are in the process of migrating ourselves to the cloud, and we are building all this organization. Actually, we launched 2, 3 months ago, a competence center on exactly focusing on this in the company to help us to migrate to the cloud, with the ambition to use all these skills and resources moving forward to move companies to the cloud. So you can think about these three layers: managed connectivity, then managed security, then managed IT, but not in the traditional way of desktop management and all those things that HP and those guys were famous for, more on manage the transition to the cloud. On the second part, we are working on this.
So what we wanted to achieve, basically, in terms of targets, is to, you know, deleverage the company to have the flexibility to work in three areas, and I think we are now exactly in that position. Area number one is to do targeted M&A. Okay, if we have an opportunity to do targeted M&A, mostly focused in country, so consolidating the countries where we operate. If you look at our fixed footprint outside Austria, we are number two, in some countries even number three, so there is still a lot of potential growth there. Also, we see in the ICT area, opportunities to do targeted M&A. Nothing really big, very targeted, as we have done so far. So that's where we are planning to, you know, optimize our capital structure moving forward. Secondly, I believe that we're gonna have CapEx opportunities.
You know, our competitors, they have another, let's say, financial situation than ours, so we can use this opportunity, targeted, not to acquire, but also to accelerate certain investments. You can think Serbia, you can think Croatia, you can think Slovenia. All these countries that are growing really fast, and we could also allocate more capital to grow even faster. And the third part is, of course, dividend policy, the long-term dividend policy. So we want to keep this flexibility, to actually execute these three pockets of capital allocation. We don't have -- we cannot share a specific target, but what I can tell you is this is our play, basically our ambition, to reallocate capital in these three pockets.
It's really helpful. Thank you very much.
As a reminder, if you'd like to ask a question, please press star followed by one on the telephone keypad. Next question is from the line of Luigi Minerva with HSBC. Please go ahead.
Yes, good morning. Thanks for taking my question. It's two questions about the tower company specifically. So firstly, you mentioned the case for managing these assets independently. And I presume you would have to make a strong case for the company to actually be truly independent, you know, as you expand your tenancy ratio with third parties. I suppose, you know, with management coming anyway from Telekom Austria, how can you reinforce the case for independence of the tower company? And secondly, if you think about the growth outlook of the tower company, and you think about organic opportunities versus inorganic ones, so which would be your preference, and how do you plan to achieve those? Thank you.
Well, I think the second question, we would really like to postpone and to hand it over to the tower management, which will be responsible in driving this, and you will have the opportunity shortly to ask this question, and we will keep it for it. But on the first one, they will also for sure comment, but what I can tell you, it's going to be two independently listed companies, with managements who are devoted and responsible for driving the business of their respective companies. And this is what I meant earlier, when we... In the past, the towers business was managed by departments within our technology organization.
We achieved to get some of the third party revenues from other operators, but we truly believe that with independent management in a listed company, which is fully focused on its own company, for sure it will be very attractive also to other operators. But I will leave it further to Ivo and Lars later on to comment.
Thank you. I'll follow up later. Thank you.
There are no further questions on the phone. I will hand back to Mr. Lang.
Yeah. So this concludes the first part of the capital markets day. We will continue at 10:15 Vienna time with the EuroTeleSites presentation. Wish you all a good break, and see you later. Thank you.
Ladies and gentlemen, thank you for holding. We are now starting with the second part of the Capital Markets Day, which is on EuroTeleSites. Therefore, I hand over to Mr. Ivanovski, CEO of EuroTeleSites. Please go ahead, sir.
Thank you very much. Good afternoon, everybody. Thank you for joining to the Capital Market Day of EuroTeleSites. I'm, Ivo Ivanovski, the CEO, and I'm here joined with my colleague, Lars Mosdorf, the CFO. Both of us, we will guide you through the presentation in the next hour, where we will switch from slide to slide and be able to share the story of development of EuroTeleSites with everybody who is online. Again, I'm Ivo Ivanovski. I've been with Telekom Austria since 2016, and I've been in the industry for over 19 years, and I will run EuroTeleSites once we are listed and registered, which will be end of September, beginning of October. Lars?
Good morning, also from my side. My name is Lars Mosdorf. I've been working in infrastructure for 16 years, thereof 10 years on C level. I'm very glad to be part of the project, the spin-off project that will lead us to EuroTeleSites, and there I will be the CFO. Thank you.
So if we can move to the next slide, we will do the short introduction. Next, please. We would like to show you the next company, EuroTeleSites, with the footprint where we exist in the six countries, where we will have over 13,300 sites, with a very, very strong revenue, very stable revenue, with great future potential for revenue growth, incredible opportunity for tenancy increase. And keep in mind, to keep the OpEx very under control. We believe that we will be able to create a leading TowerCo company in Austria and Central East Europe. You can see briefly on the left that we have 173 employees. Headquarters in Vienna, we'll be listed on the Vienna Stock Exchange.
We did receive two investment-grade ratings from Moody's, Baa2 and BBB- by Fitch, with a strong anchor tenant, which the ones that participated in the morning session were able to understand who is A1 Telekom Austria, and the business model, which shows a strong profitability, very strong EBITDA margins, EBITDA of EUR 127 million, and revenue of EUR 232 million, which were for 2022. To make the story even more complete, the financing is already in place with a EUR 500 million bond, EUR 500 million loan, and a EUR 75 million RCF. Moving on the next slide, please. This is just to demonstrate again that we have the same shareholders as A1 Telekom Austria, with exact same share structure. The long-term ownership of América Móvil and ÖBAG is subject to their shareholder agreement.
With this, we believe that EuroTeleSites will be supported by two very strong shareholders. Next, please. On the next slide, just wanted to show you briefly about our business model and platform. You can see on the left, we are in a cycle where the tower companies are having their golden times. The strong markets that we are in, with 31 million people, gives us a wonderful opportunity that due to the data usage growth in the mobile telecoms, we will be able to use this opportunity and create more sites, build more sites, and with that increase the tenancy, increase the revenue. Approximately 18% of the tenancy growth will come over the next eight years. We will see from the 1.21 ratio where we start today, we will reach a significantly higher ratio, 1.4.
With this, we are in a story that we would like to build Europe's digital infrastructure. Why is this important? Because with a strong platform that we have created at EuroTeleSites, with the experienced management that we have, with investment-grade rating, we are positioned to deliver. And with this, I would like to ask, Lars to tell us briefly about the business and the financials, and then, you will see down the road, we will take a deep dive in each of these, segments of the presentation.
Thank you, Ivo. Ivo, you have mentioned that we expect a huge data volume growth in the next few years. If you look at different sources, we expect that data volume growth is expected to double every two to three years. That's an enormous increase that we expect in the telecommunications. And of course, as a passive infrastructure provider, we are the neutral host for this telecommunications developments over the next few years. And therefore, we believe that we also will profit from the growth of the overall industry. And, to make it a bit more precise, this growth is driven due to the fact that at the moment, we are changing a lot of things in society. So the way we work, the way we consult doctor, the way mobility develops over time.
I'm not talking yet about autonomous driving, but you see all these points will require and the demand for growth on the data volume. Now I would like to show you that our business model is also based on this participation in growth. We believe that we offer to you as a potential new or an existing shareholder, first of all, that we have a very robust business model with a strong revenue growth. That's very important. The second one is that we also believe that we already today have a high profitability, and of course, we have a high revenue visibility and predictable cash flows over long years. We will show you this on the next slide. Here, we show you where does the growth come from? I think that's an important part.
On the left side, you can see that, and this is again, 2020 data that we use. Currently, we have EUR 232 million revenues per year, and we expect a 4%-6% increase of our revenues each year over the next few years. Maybe it's important for you all to mention, how is the definition from our perspective for medium term and long term? The medium term, if we talk throughout the presentation, will be 4-5 years, and the long term beyond the 4-5 years. You can see that the growth is for two-thirds driven by our anchor tenant, A1. And if you ask, "What is A1 giving to you so you participate with A1's growth?" It's for and most important, of course, the 5G upgrade, which is approximately 50% of our CapEx currently.
It will reduce over time because 5G upgrade will then be implemented. In addition to that, of course, we expect approximately 1,000 additional new sites. And it's very important to say and to mention, that other than in other industries, we, as an infrastructure provider, only build once we have the contract with our tenants, with our anchor tenant, for example. So this gives us security, and we, from day one, know that once we build, once we spend the CapEx, this will be a portion of our growth story, in the next few years. The second and smaller portion of our growth story, according to 1/3, is the third-party tenants. And you will see on the upper right slide that at the moment, our third party or other tenants, reach approximately 5% of our overall revenue.
Our intention, our goal by building up this company, is to increase this share slightly over the next few years. The overall revenue part is so far small, but it will grow. And of course, the profitability also will be driven from third-party success, that we offer our infrastructure to other MNOs, but also to beyond MNOs market opportunities. For the third parties, for example, we expect additional 1,200-1,500 new tenancies. And of course, we also strive to market our infrastructure towards new MNOs that are already existing in the market. Let’s allow me maybe one comment on the figures. The financial figures that you will see throughout the presentation. You will always see pro forma figures for the year 2022 and the first half, 2023.
The reason behind this, that the good thing is we are an operating company on a local level, so we have already formed operating, functioning, local companies in six countries, and we now combine them. That's the reason why we don't have the historical information, and that's why we use pro forma. We act as if those six countries, including the group level, already would have been put together. Just for your information about pro formas, we can give you more details if required. Ivo, looking in the next chapter, could you give us some key highlights on our investment story, please?
Thank you, Lars. Yeah, definitely. I think continuing with the growth story, what is very important for EuroTeleSites. We heard in the morning that when the towers were part of the mobile company, different department, different sectors, typically the KPIs where they have the best performance, that they try to with the competition, to have a better coverage, better quality, and they were not set to grow tenancy, to grow new tenants. This is where the difference comes when there is a separate new management for this company, then our goal is to grow tenancy and grow locations. So some of the growth drivers that we can see on this slide is, of course, the way we live, the way our life has changed, where we are so dependent on data, and the data is growing 80% cumulatively up to 2028, based on some studies.
And then with the technology adoption. 5G was mentioned multiple times, that 5G coverage is still not completely reached based on the spectrum allocation that was given to A1 in this case. There is still a lot of opportunity in the footprints, and in some countries, such as Serbia, 5G has not been awarded yet. Then if we speak of the quality of service, then more quality means more coverage, or I should say, more coverage means better quality. Why is this important? That we will see the connected cars, for example, if you move on the next slide. We will see how technology is changing and how the future is changing, the way we live and the way everything is being connected.
So on the bottom left, where we have the 4G, just, one site, one tower, covering multiple devices, then moving to the 4G plus or 5G in the middle, and then moving to the next generation, where we're going to have the smart cities, the edge data centers, the Open RAN, the 5G rollout from new entries, possibly. Then we see that everything is going to be connected, and in order to have such a quality connectivity, then you need proximity. In order to have proximity, that means that you need more sites. So the sites will become closer to the user, and they'll be more, most likely smaller, but this is where we see the opportunity for the growth. And this is where it's important that EuroTeleSites gets into the lead of this and be able to attract the new tenants.
So if we go to the next, I can just show you briefly about the macro development in the footprint where we will operate. So starting from Slovenia, Croatia, Bulgaria, these are the four countries that are part of the European Union, where almost 90% of EBITDAaL comes from, European, with a very strong country rating. Serbia and Macedonia are participating less than 10%. Then if we go to the inflation numbers that we see on the bottom left, we see that inflation has slowed down, and hopefully soon it will normalize back to prior the COVID times. We also see on the top right the positive economic growth across the footprint, with exception to North Macedonia. Just what is important is that there is a very limited risk of currency effects.
Most of the revenue comes in euros anyhow, and with exceptions to Serbia, the rest of the countries are either in the euro or they're pegged to the euro. So, maybe, Lars, you can tell us a little more about how footprint looks like in the sites, rooftops, greenfields, and other tenants.
Yes. Let's talk about our current towers. You can see that, as mentioned, we already today operate 13,225 towers across the six countries in which we operate. They are existing. It's the infrastructure that already has been operated in the past, while it was still linked to A1 as being a cost center during at A1. Now we form, with these assets, a new company, and our growth, of course, is also built on the strategy that we will develop those towers over time. Let's look at the specific numbers.
I've mentioned the towers' overall amount, which is 13,225, and, approximately 6,000 are based on greenfields, so they stand somewhere in the country, and approximately 7,300 are on rooftops, so in densified areas, cities, and villages and so on. If you look at the towers by market position, I think that's a very important number, because if you add up those markets in which we are either number one or number two, jointly with A1, of course, we reach 88%. So the biggest portion of our business is done in markets in which, we are the market leader or very close to the market leader, being number two. And thirdly, I think that's also a very important all the other five countries that Ivo just have mentioned.
This is an important point, therefore, because we believe Austria is our core market. It's a very stable, very solid market in which we operate, that gives us also security over the next years. And CEE is a growing market, and it bears a growth potential, because if you look at the figures of the CEE market, you can see that it's slightly below the market average. If you just take the average of the peers that we mention here on this slide, you will calculate approximately 2%. So there you can already see that there is a room and a headroom that we expect to fill over the next few years. And if you ask: What is your goal? I will present on a later slide about the guidance, how we think that the business will be driven over the years.
We will mention there that we expect to increase the tenancy ratio from 1.22 today to 1.44, approximately, in the early 2030s. This would be an 18% increase, so we believe it's realistic, and compared to these peers, it's still, of course, a bit underperforming the market. There you can see that we strive really to get also on the third parties, on the MNOs, excluding A1, to really build on additional revenue steps or also revenue potentials by giving our towers, our infrastructure, to other MNOs. Looking into the next slide, you would probably ask the question: Who is the management? The management is, of course, Ivo and myself. We've briefly introduced ourselves, but it's also Gernot, who will be responsible for the core market of Austria.
It's also, Gerhard Menches, who will be responsible for the group finance, so for the whole group finance. And beyond that, Ivo has mentioned on the first slide that we are currently 173 employees in our new company. The majority of those employees are from their previous positions in the tower business, joining now the new company. So they know their business. They're experienced, long-year experienced. And I think we are quite diverse team. We come from 10 nations, as we have collected, and we have, of course, also a share of female colleagues on board. We have competencies from all kind of different perspectives on board. Long-time experienced, linked, of course, also to the history that the people have been working on the tower business during... It has been a cost center in A1.
The good thing is we are already on board now, so, the company is ready to go. We're fully operating. Team is mainly staffed, and, I'm very positive that, I think all of our colleagues are, after having worked on this project for quite some long time, are eager to develop the company now and drive the company. On a daily basis, I can tell you it's a lot of fun to work together, and people are, happy that we now can walk on our own feet and, create the company. Ivo, having mentioned the management team and the team itself, maybe let's look at the business overview a little bit more in detail.
Yeah, let's do that. So the focus is based on three pillars. So it's boost the core, growth areas, and digitize process. What does it mean, boost the core? Boost the core is our core business, which means we need to roll out sites in a very efficient way in order to be competitive with the other peers, and we need to find the best locations and to provide the best quality for our tenants. The growth areas that we see, I briefly mentioned that there are a lot of opportunities due to the new technology that is changing, due to the 5G spectrum, but also just by separating the tower company from the mobile company. Lars mentioned that we have a very solid team that came from the mobile company, now in the tower company.
Now, we are in a process that we need to make a culture change, that we are a separate company, that we need to be an independent in the mind, that the A1 is our anchor tenant and our best tenant, but we need to treat equally every single customer that comes, and we need to make sure that we strive for the best service that we can provide for the next customers. In the digitized process is something that we are very proud that we started early on to change a lot of the process the way they were done before. Thanks to the new technology that is being out there, we believe that we will be in the leading front pretty soon.
Once we digitize most of the processes, then we will see that it will have impact on the OpEx, and especially with the CapEx that we have planned, that we can be very competitive in the areas that we operate. So if you go to the next slide, I just want to show you briefly what does it mean, the passive equipment, what is the active equipment? So in the tower company, we only manage the passive equipment. All the red on the picture, all the red items are the active equipment, such as the antenna, the microwaves, are staying with the tenants, the telco, and the passive comes with the tower co. We provide space, we provide maintenance, we do EMF support, and then we have additional services which are important, such as the upgrades, energy.
We have many sites where we have our own solar panels and wind turbines that is used for only the telco benefit, but sometimes when we are overproducing, we are also able to sell that to the grid in the markets where that is allowed. And this is something that we are striving to improve our ESG and also help the tenant in their ESG targets. So if we move to the next, we can just see an example of how an agreement looks like, in this case, between A1 and EuroTeleSites. So we start with the Master Lease Agreement, which we'll get into more details on the next slide. Then we have the site lease agreements, where we have agreements with landlords, and some sites are owned by us, some sites are owned by the telco, some sites are owned by multiple landlords.
This is where we do the management, and we see an opportunity that we can be more efficient in this way. And then we have this antenna agreements unique to Austria with the three other telco players. And then moving to the right is the other tenants that we have. So what is important, that we have long-term contract agreements with telcos and non-telcos, and the third-party agreements are dealing with the rollout and construction of sites and the infrastructure maintenance. Again, the important part is that if the order comes, then we roll out into construction. We do not have any plans for M&As, especially not for key market consolidation. We might have some M&A opportunities on sites which are still part of A1 and but that will be a small number, nothing significant. So if we move to the next.
Coming back to our anchor tenant, maybe some of you did not participate in the morning session. A1 is one of the best performing telcos in Europe, with very strong revenue in EBITDA. But what is important for us is that we have a indexation in the lease agreement that we have with them, that we have a arm's length agreement, and we have a very long-term, 3 x 8 years agreement contract with A1. The Build-to-suit commitment is not into the Master Lease Agreement. However, there is an opportunity for the 1,000 new sites that the A1 needs to develop according to the radio planning department in the next 3-5 years, that we are well-positioned.
If we go to the next slide, we will see a little bit of the details for the master lease agreement. I believe this is very important for some of you that we have lease agreement with indexation, which are capped to 3% or 85% of the annual adjustment. We believe that when the master lease agreement was created, that inflation at that time was very high, however, stabilized in the long term, since this contract is for 3 x 8 years. We do not expect, and analysts do not expect, that it will be significantly higher than 3%. And what is important that the steel, which is the majority of our CapEx when it comes to rolling out new sites, is not capped.
So it's a fully indexed, and this is where we see the protection in case the steel prices go up, that we can pass through the cost to the anchor tenant. The partial termination rights is also an option, and that it's capped to 5% over a period of 8 years. That means the A1, in this case, can terminate 1% per year up to 5%. What is mandatory upgrade, something that 5G rollout for A1 demands a mandatory upgrade to many of the sites. And these are sites that when we upgrade them, we are also investing to be ready for a second or a third tenant. So this is the order comes from A1, in this case, it's in the business model, however, the sites will be prepared to support multiple tenants.
And the last important thing to mention is that up to 5% of the sites can be used as a golden site. Of course, there will be a surcharge for this. Now, this is a master lease agreement that is with a mobile operator. Maybe, Lars, you can tell us a little bit about non-mobile operators, tenants, and opportunities that we see.
Of course. On the next slide, you can see the so-called non-MNOs, and I just would like to jump back, theoretically, one time to our overall revenue overview. So you remember that we have talked about our revenue that we currently have with our anchor tenant, A1, which is 95% of the EUR 232 million that we achieved in 2022, and five percent are linked to other MNOs, so peers of A1. And on this slide, we would like to show you that beyond the other MNOs, we also think about additional business once we spin off. This part is a very minor part according to our revenue share at the moment.
It doesn't even reach approximately 1%, but I think we would like to mention it, because this is one of the stories where we would like to really put effort into growing further and into developing also our infrastructure. Namely, it's of course, the biggest portion of this small portion is that we serve government and also public radio users. We also serve utilities and public companies. We believe that in the framework of what Ivo has described about how the data volume will grow, or how mobility will change, how the industry changes, we see some opportunistic plans to grow alongside such developments.
So just to keep it in mind, there is anchor tenant, there is MNOs, and there is additional business, and one of our strategic aspects is, of course, to develop also this so far minor part as being called based outside of MNOs. Let's jump to the next slide, where we show again the tenancy ratio as well as our towers. I think I don't need to revert too much into the numbers of the towers and also the tenancy ratio. What is important for me to say or to mention at this part is that and that's the reason why we also showed the year 2021, that we see a slight increase over the years also on those parts.
If you look on the right side, you can see that there is a development overall of approximately 1%-2% per year. And if you look at the red part, which is other MNOs, you already can see an increase of 4%-7%. Just to give you an indication, and this was, of course, pre-spin-off, pre-forming an own company that strives to also develop third-party contracts and third-party business. I've mentioned our target, which will be 1.44, so an increase in the tenancy ratio is not only planned, but is our clear goal to achieve. And the chart gives you an overview of how we start, how the company starts once we spin off, and from where we will then build up the growth.
A very important point that we would like to mention is the snapshot of our ESG. I think it's for all of us, being part of a company, being also part of a society, ESG is relevant. Ivo mentioned that we are currently working also on our team and also on building a new culture for the team. We believe that it's very important to have the ESG goals, but we also insist, of course, to live them on a daily basis. What drives us? We are driven by the idea that through our mutual infrastructure, we can improve the ecological footprint. Therefore, that you remember the big data volume growth that we have presented, and this would require, if you would go ahead in a way we do it today, to massively also increase the passive infrastructure.
So no matter if it's our company or if it's other companies, but if we would not cooperate, just driven by the data increase, we would see an insignificant increase of towers and tower infrastructure to serve this development that we can see in the market. We believe if we become more active on the market, if we go further into sharing this infrastructure as being a neutral host for the passive infrastructure, we achieve that overall, we will get a reduction of soil sealing, and we will, of course, share all the other emissions towards different MNOs. I think this is a very important ecological point that we would like to stress and to emphasize.
Furthermore, this is a non-scientific number that I'm mentioning here, our overall footprint, the emission footprint for a tower company, is on a low one-digit percentage of the overall emission footprint of an MNO company. Because the major parts are, of course, electricity, and our infrastructure is served not by the electricity that the active parts will require, but we of course manage towers and the light on top of the tower, the security and so on, but not the major part of the electricity. That's what I would like to mention. So we already have to frame it in that case, that ESG and the emission part is, of course, an important part for us to transparently monitor, but also to develop.
The reason why we're doing so is that we also are starting and developing further alternative energy supply. We have very good examples in place. We plan, in addition, further increase of using solar panels, for example. Ivo mentioned also wind turbines that we would like to put on the towers. So we see a good opportunity to use our existing infrastructure to reduce the emissions and to reduce, of course, the requirements on the electricity side, also from an A1 or also from an other MNO perspective. We've recently talked about HR. That's also a very important part because we are forming the new culture. We're forming and developing, of course, the company, and we're on a good step there. We are very proud talking about governance to have a very well-established supervisory board already in place.
We are very glad that our chairwoman will be Barbara Potisk-Eibensteiner, already working together with us, and from there, we will develop, of course, the company in its new framework. Important to say is that talking about risk management, talking about compliance, talking about all the other, guidelines that have to be in place, all the SOPs requirements and so on, those are all in, either in place, are most of the time, very strictly also in line with what our anchor tenant provides. A1 has a very high standard on that side as well. Of course, we would like to keep this standard. Work safety from our perspective, as been mentioned, ESG as well, is something we would like to focus and to keep the focus on also in the future. Now let's look into the next chapter.
We've talked a lot about financials.
Yes. Before we go to the financials, to the hardcore part of this presentation, I suggest to make another five minutes break and continue then. See you in five minutes.
This, on the one hand, that we want to drive the growth with the anchor tenant, but also with other MNOs, as we have proposed or as we have suggested in the slides that we've already shown. And on the other side, the story is, of course, that since we will form a new and neutral, independent company, we will also focus on efficiencies on the cost side. Talking about OpEx costs, but also talking about CapEx costs. And if you then look at the margins that we expect, we believe that we already today have a very high margin compared to other industries and also compared to the telecommunication industry. We start with an EBITDA margin of 87%, and we expect it to be on a stable level over the years.
We furthermore believe that we start with a high EBITDA after leases margin of 55%, and there we even expect an increase of the margin over time, because we expect an optimization on the lease side over time. Now, you will ask, "Why do you show us 55% in the year 2022 on the EBITDA after leases margin, and then a reduction to 53%?" This is driven by the fact that we have a one-off cost element in the first half of 2023, namely the IT equipment that we will take over as a company in the amount of approximately EUR 4 million. If you would deduct this, of course, the mentioned growth that I just said would apply, and it will apply over the next two years.
The same actually is relevant for the free cash flow margin, and you can see 70% going down to 65%. This is also driven by the one-off effect. Let's briefly talk about CapEx. I think CapEx is a very important driver for growth on our side, because any CapEx that we spend, we are for sure receive revenues over the mid and long term, and therefore, for us, it's profitable to invest into CapEx. And I can just get back to what Ivo has described previously. We don't build if we don't have a contract. So the positive side for us is that once we have an agreement with our anchor tenant or with any other MNO or other customers, we are, of course, ready to build, and we're ready to implement new infrastructure, upgrade the infrastructure that we serve.
But on the other side, we only do it once we have the agreement, and therefore, we can also acknowledge the CapEx spend then through the rents we will receive in the next few years. If you look at the CapEx numbers that we show here, you can see that we start a little bit low in 2022, but on the guidance that I will give you on a later slide, I will mention that we expect CapEx to be at around EUR 60 million per year, and that we expect that those EUR 60 million will be approximately, over the years, 20% of revenues spent per year in the future. So this is a level that we also strive to keep. It is a little bit upside loaded, so you can see or it's front-loaded, sorry.
So you can see that in the first few years to come, including 2023, we already expect a little bit higher CapEx, mainly driven by the fact that we invest into 5G. On the next two slides, I think we briefly can walk through the slides. We just wanted to give you some more details on our core market, Austria, and on the next slide, we will see some information also on the international business that we are doing. If we go back one more time, please, to Austria, you can see that with approximately 60% of our revenues, the core market is very stable, and it's not only stable. If you look at the tenants, we already are a bit over average of our 1.22 tenancy ratio.
So, what I mentioned before is that this is the foundation of our business, Austria, as well as in the number of towers, as well as also in the revenue, and also in the tenancy ratio that we would like to build over the next few years. Secondly, the markets, on the next slide, international. International means what Ivo has mentioned. It's in the five CEE states in which we operate, and we don't plan to operate beyond those five countries in the near future. So, it's Croatia, it's Bulgaria, it's North Macedonia, it's Slovenia, and Serbia. And there you can see that also, we see the growth potential, because those countries have a high demand of the overall data volume increase, which is below the European level so far.
So we have a solid base, and we have a growth story that we would like to present. On the next slide, I briefly would like to talk about our financial policy. For the first 4 years, we have a commitment for no dividends, but of course, the reason why we do so is that we would like to deleverage the EUR 1 billion debt that we have taken over from A1 within the next 4-5 years. So once the company is ready to start, the company launch will be with a net debt leverage of 7.6, pre-IFRS. And our target to deleverage over the next 4-5 years is to achieve 5x leverage, which I think is a quite solid base also for the business to come and to develop beyond the next 4-5 years.
On the liquidity, on the financial perspective, we would like to mention that we are, as we think, well-financed. So we have already two financial instruments in place. The one is a five-year loan that is in place in the amount of EUR 500 million, and the second one is a EUR 500 million bond that is in place. In addition to that, we, for security reasons, also have in place an RCF in the amount of EUR 75 million, which we don't plan to use fully over the time. If we go to the next slide, I think this is an important slide for those of you who would like to do their own calculations.
We talked about the revenue growth, so there is a strong commitment, and also, I think plausible reasons why we believe that we can drive the growth over the next few years. With high margins, that will, on the EBITDA level, stay on a high level, but on the EBITDA after leases level, it will even increase over the next few years. I briefly talked about CapEx being on approximately EUR 60 million over the next few years. By the way, maintenance CapEx will be approximately 3% of our revenue in the mid and long term. Of course, when the towers age, there will be higher maintenance CapEx, but if you look at the numbers, for now, we can see those 3%. We will have a positive free cash flow from day one.
We don't expect it to become negative in the next few years, so it will grow. I briefly also talked about the leverage and the dividends. This is a first glance into our business model and the future of our development achievements that we would like to reach for. I think it's quite solid. I think we believe that we propose to you a business model that is from day one an interesting investment, and that, of course, even with no dividend policy on the midterm, is quite interesting since it's stable, it's based on growth and high profitability. Having said that, we are slowly coming to the key takeaways, to the conclusion. We thank you for your for your participation. Also, we are looking forward to the questions. To wrap up, Ivo, we talked about revenue growth.
I think the revenue growth is driven by the mobile data demand growth that we have talked through with you. So autonomous driving, more equipment, other way of how industry works, of how society works, how mobile work is going, these all are drivers for our growth as well. And we are the market leader in a growing and stable market in Central Europe, with approximately 31 million people that we can serve, that we can operate in those markets. And we expect revenue growth over the next few years in between 4%-6%. Having said so, maybe, Ivo, you can kindly wrap up.
Yeah. Thank you, Lars. Yes, definitely, the surging demand for data is positioning EuroTeleSites in a very good position that we can continue, first, with a stable revenue, thanks to the A1 agreement that we have as an anchor tenant, which is also indexed. So the indexation will support the growth of the revenue through the years, but also the way we change our lives. We are more dependent on data. Just an example, the fixed-to-mobile substitution traffic in A1 networks currently composes about 60% of all the data traffic that we have. So that means these little popular cubes that some of us have, that we are taking them from home to the summer vacations, these are considered as fixed, but they're going through mobile networks.
Due to this demand of data, we will see more base stations coming near to us. There'll be more densifications of the network. We will see smaller sites, but multiple sites near us, and this is where we see the opportunity for the growth. This will bring more revenue. Believe you're convinced now that we are very profitable with EBITDA margin of 55%, EBITDA over 87%. For some of you, EBITDA is maybe closer to your heart, and we believe that this will drive the EuroTeleSites to a higher goals. Thank you very much for the attention, and we are now opening the floor for Q&A.
Thank you.
Ladies and gentlemen-
We would like now to hand over to our operator, Emma. Please go on.
Thank you, sir. Ladies and gentlemen, we will now begin the question -and- answer session. Anyone who wishes to ask a question may click here for either on the browser or phone, which you can find in the text on the right side of the webcast screen. Once you are connected, please press star, followed by one to ask a question.
Luigi.
First question is from the line of Luigi Minerva with HSBC. Please go ahead.
Yes. Good morning. Thanks for the presentation and for taking my questions. I have three. The first one is on the build-to-suit program of 1,000 sites. So thanks for sharing the CapEx detail of EUR 60 million a year. What about the EBITDA after lease attributed to the towers to be built? Can you give us some details there, and also about the phasing of it? Second question is on the kind of, you know, conditions you are keen to offer the secondary tenants.
So we know how the MLA works for the anchor tenant, but when it comes to secondary tenants, can you give us some details about the discount they would get on the rent compared to the anchor tenant, the level of indexation? ... and the pass through. And then, thirdly, going back to the governance point, I appreciate, you know, all the efforts to not to be an independent tower co, but eventually, most of the management team comes from Telekom Austria. And as you say, América Móvil will be involved in the day-by-day management and strategy of the company. So, I mean, what-- how can you present yourself truly as an independent when it comes to pitching for new business to third-party operators?
Thank you.
Thank you for the question, Luigi. Just on the build-to-suit program, quickly, so it's not decided that the 1,000 sites are going to be TeleSites. This is the build-to-suit program that A1 has predicted by the radio planning for the next three years. We believe that we are in the front line to get that business. But of course, for that, we need to be competitive, and we need to bring the best offer on the table. On the conditions for the second tenant, I just wanted to say that, yes, the second tenant will receive some discount. I'm not sure that it is appropriate that we share what is the discount right now. Maybe some of the competitors are also out there on the participating on the call. So we have already achieved increase of tenancy this year.
We believe that we are very competitive with that, and we will continue in the same direction. And on the pass-through, we currently have the electricity pass-through for to the anchor tenant.
And maybe briefly answering the third part of your question, which is the question if we are an independent tower company. Most of all, yes, we will be an independent company and will be a listed company. If you compare us to the peers, of course, you can see that we are one of the few completely independent companies. We believe, of course, that it will be a transition phase. So yes, it's rightly said from your side that we, a big portion of our team is, of course, coming from A1, which is helping us at the moment, because those experts from A1 have been working on the tower business already before. So we bring knowledge, and we bring, of course, also a long year experience on board. And at the same time, so far, the tower business was a cost center within the A1 universe.
And now, also driven by Ivo and myself and the whole team, we are obliged, and we are eager to develop the business as a business case. So we really would like to operate at the market as a company, and therefore, we believe that the culture will change, the way we approach competitors and other peers will change. And we will be driven, of course, by the idea that we can serve a society with our asset infrastructure in a way that we would like to take a piece of the growing pie as a new company. So therefore, the independence, I think, is of course, a transition phase, but I would name it positively, because we bring experience, and then we have an upside potential to develop the company.
That's great. Thank you.
Thank you.
As a reminder, that's star followed by one to ask a question. Next question is from the line of Nora Nagy with Erste Bank. Please, go ahead.
Hi, thanks for the presentation. I just have four questions, please. With the, with your plans for increasing the number of tenants, I assume that you see consolidation opportunities in your footprint. It was fact that Telekom Austria will have lower debt. So this, is this realistic that Telekom Austria will buy another operator, who will simply use your towers, and thus you can increase your tenancy ratio? Is this idea on your table? Secondly, on average, how many tenants you provide services per one tower? Here, I try to understand if you have plans to service, for example, three tenants from one tower versus the earlier one tenant, one tower. Thirdly, we saw in the syndicate agreement that there is a EUR 1 billion investment program for fiber.
If I'm not mistaken, there are no details yet whether this will be fully carried out by the tower entity or Telekom Austria or both. Can you also share a target for the fiber rollout? The last question, how much of your CapEx guidance will be devoted to 5G? Many thanks.
I can try to answer. You have two questions, which we believe are for A1 management on the M&A activities for mobile, and whether by acquiring a mobile, that will help us to then grow the tenancy, because there will be some synergies.
Well, thank you very much for the question. We don't have in the roadmap to do any consolidation on the mobile markets, in the markets we operate. The only, basically due to regulation, because has not been approved any consolidation from three to two so far in the EU, and all our markets, except one that I will comment in a second, are already three players. So I don't, I don't see that there is an opportunity to consolidate the mobile market even further in number of players. The only market where there are four players is Slovenia, that if the opportunity arises to consolidate, we will appreciate that a lot, because it's four mobile players and four fixed operators in a market that has 2 million inhabitants, so it's a very small market with many operators.
But we don't see any concrete opportunity as, as per today. The second question, since I'm on this already on the fiber, the EUR 1 billion commitment in the syndicate agreement is for the deployment of fiber infrastructure in Austria. Specifically, it's a program that is already ongoing, and we have a multi-year program to build this fiber network. Has nothing to do with the tower transaction or no implications on the tower performance.
Thank you, Alejandro. Nora, I have difficulties understanding your second question. It was something with average tenancy 1,333. I can only guess, or if you would like to repeat-
Yes.
That, maybe-
Yes, sure. No problem.
Please.
Sure, sure. Sure, sorry. So on average, how many tenants you provide services per one tower? Did I try to understand if maybe you have the option to service more tenants from one tower than the current figure now?
Yes. Oh, thank you. Definitely. At the moment, we have a 1.21 tenancy ratio, and we have in different countries, different ratio, of course. And of course, with the upgrades that we are doing, which relates to the 5G on the CapEx that Lars will answer, we can also support more multiple tenants, and the goal is to reach to 1.4 tenants pretty soon, which is about 18% growth. So maybe on this relation, can continue, Lars, with the CapEx on the 5G program.
Yes. Thank you. You've asked about the CapEx, and I would like to mention and highlight again that each euro spent on CapEx, of course, is, for us, profitable because it leads to higher rent revenues in the long term and in the mid-term, of course, once we have spent the CapEx. So we are driven by the fact that, of course, we would like to develop our infrastructure. We would like to build new towers and to upgrade towers, and as mentioned, we expect a CapEx spend per year of approximately EUR 60 million, which is a bit front-loaded, so it might decrease a little bit over time, and it will keep a level of approximately 20% of our revenues. If we talk about CapEx, of course, we talk about new and additional sites that we would like to build.
Ivo mentioned the 1,000 sites that we try, of course, to build for A1. The second category is also that we are currently focusing on a mandatory upgrade on 5G. So this is what drives our CapEx. And you asked about the portion at the moment, and this will decrease over time because the upgrades will be finalized, of course, over time. At the moment, we expect the 5G upgrade CapEx percentage, in comparison to the overall CapEx, of approximately 50%. And, then not to be neglected, we also have, of course, a maintenance CapEx that is developing a bit over time, but on a low level of approximately 3% in comparison to our revenues per year.
Many thanks for the answers.
Thank you.
Next question from the line of Adam Fox-Rumley with HSBC. Please go ahead. Mr. Fox-Rumley, your line is open. Please go ahead. We are unable to hear Mr. Fox-Rumley. I repeat, to ask a question, it's star followed by one on your telephone keypad. Mr. Fox-Rumley from HSBC, your line is open. Please go ahead.
Sorry, I hope you can hear me this time.
Yes.
We can hear you.
Great. Thank you. I wanted to ask a couple of operational questions. You've obviously got this plan to increase your number of sites, and I wondered if you could talk about the kind of planning challenges and lead times involved, because I know that can vary quite dramatically by country. I can see in your slides, for instance, that your site count is fairly stable in Austria over the last six months, but has grown quite considerably in the CEE region. So, you know, is there anything you want to point to between the two different regions where your growth is focused, and maybe is there anything in the pipeline that can make that more straightforward in any of the markets?
With reference to the earlier question about the 5G upgrades, is there anything you can say about the proportion of the site count in total that has been upgraded or is still to be upgraded, just so we can get an idea of you know, kind of what the estate looks like, where you are able to serve kind of multiple sites, or where that's the constraint? And then the final part of the question was on lease renegotiation, which you mentioned in your prepared comments. Can you give us any idea of the proportion of the base-... where you might expect to see the opportunity for lease renegotiation to come up each year. That would be a helpful data point. Thank you.
Thank you for the question. Then I'll take on the first one. Time challenge and lead times was the question. Yes, some countries are more flexible with the one-stop shop kind of windows when it comes to receiving the necessary permits. Other countries, a little more challenging. We believe that in Austria is one of the large markets where the lead time is a little longer than the others. However, we have to make it important here that we are the incumbent, A1 is the incumbent player in Austria, and with the premium sites that we currently have, we are in a very good position that we can increase the tenancy ratio. And, again, since the opportunity for a second player to come on existing sites is greater, this will be the focus that we can do.
Why, why would a telco go after rolling out complete new sites if they can jump on a premium location which previously was not offered due to competitiveness, and now they're all available on the market? So we have looked into the challenges that we are faced with. We believe that we are in a good position, and we will carry out with the business plan that is intended. Then maybe you can take on the next-
Yes, yes, I can also add a little bit on the 5G upgrade. Your second question was based on our discussion that majority of our CapEx spend today is linked to the 5G upgrade. And, I think we're performing quite well on that side, but we need to distinguish the different markets. I give you an example. In the current Austrian market, the 5G upgrade means that we need to upgrade the existing towers mainly, so to make them usable for the 5G equipment, the active equipment that will then be changed, and I think we're progressing well there. There are other markets, like, for example, Serbia, where 5G has not been yet started, and where sometimes even completely new sites need to be built.
Having said that, just to give you an indication about lead times, we have approximately 9-24 months lead time, depending on how in which location and about the availability of the location. And we so far don't see any problems with, for example, steel availability, which is, of course, from our perspective, the biggest portion of material that we need to use to build such sites.
Thank you.
Adam, I think your last question was about lease renegotiation.
Exactly.
On the lease renegotiation, we have already been in the process to receive the consent of all the landlords in Austria, where we had legacy contracts. In all of these renegotiations, discussions were open and conducted, so we have close to 70% of that completed. In other countries, there is no indexation included, but automatic in the lease grants. Overall, in the Austrian market, the majority of the contracts does have the indexation included. In outside of the international markets, we have an opportunity to renegotiate on the prices, and we will use the methods as a prepayment if it's necessary to make the business case, or sometimes if we have to be in a deficit mode, we will also try to do a long-term prepayment in order to bring down the leases.
Great. Thank you very much.
Thank you for the question.
Are there any further questions? Please press star followed by one on the telephone keypad. I have a follow-up question from Luigi Minerva with HSBC. Please go ahead.
Yes, thank you. Thank you for taking my follow-up. Just to clarify my previous question, so the EUR 60 million CapEx annually that you're guiding for, they do not include the build-to-suit program. Is that correct? And if that is true, what would be the estimated CapEx associated with the build-to-suit program of 1,000 sites over the next five years? And then secondly, the 1.44x tenancy ratio target for 2031, I just wanted to check that it's based on an MNO only definition. Thank you.
Thank you, Luigi. Just to briefly come back to your question on CapEx. So you asked about the build-to-suit. Ivo has mentioned that A1 strives to build approximately 1,000 new sites in the mid and long term, and of course, we strive to achieve this business. And of course, we have these estimations included in the EUR 60 million. So there is no additional CapEx for build-to-suit. The EUR 60 million is the overall estimation, of course, not yet committed, but, at the same time, the best guess, that we can foresee for the next few years. Talking about the tenancy ratio, the increase, I think you have linked from 1.22 to approximately 1.4 in the late 2020s and early 2030s. This is linked to the MNO group.
I, maybe you remember the one slide. Of course, in addition, we are striving to develop business also beyond MNO, but the tenancy ratio is exactly linked to the MNOs.
Okay. That, that's very helpful. Thank you.
Thank you.
There are no further questions re-registered at this time. We would like to thank you for attending the Capital Market s Day, and wish you a pleasant day.
Thank you.
Thank you very much.