Home English Idea, Vodafone India to sell tower business to ATC Telecom Infrastructure.
Vodafone India and Idea Cellular have separately agreed to sell their standalone tower businesses to ATC Telecom Infrastructure for an enterprise value on Rs. 78.5 billion.
Through a BSE filing on Monday, Idea and Vodafone stated the pan-Indian telecom tower business comprising 20,000 towers with c combined tenanct ratio of 1:1.65 will be sold to ATC, formerly known as Viom. Vodafone India will receive Rs. 38.5 billion and Idea will get Rs. 40 billion from the transaction.
The deal is expected to be completed by the first half of 2018.
Idea on Monday reported a consolidated net loss of Rs 1,106.8 crore for the second quarter of the current fiscal.
Vodafone India and Idea announced their merger on March 20. It was decided that post-merger Vodafone India will own 45.1% of the merged entity, after it transfers about 4.9% to promoters of Idea and/or their affiliates for ₹38.74 billion. Kumarmangalam Birla will be the Chairman of merged Vodafone-Idea entity and both the companies will have equal stakes in the merged entity over a period of time.