Idea Cellular is working on a plan to sell its towers, attracting interest from three potential suitors.
The Indian operator owns 11,000 cell towers, the sale of which is expected to fetch 75.8 billion rupees (€1.1 billion), according to sources cited by the Economic Times on Friday. Selling its towers would help Idea reduce its NR140 billion (€2 billion) debt pile.
According to the report, three companies are eyeing Idea’s towers: Malaysia’s Axiata, local player Bharti Infratel – which already owns more than 37,000 towers in India – and American Tower.
Idea Cellular has come close to selling its towers on a number of occasions in recent years.
In 2012, it was reportedly approached by Axiata, which holds a minority stake in Idea, with a proposal to buy its towers business. The companies allegedly held deal talks in June 2013 too.
Then in November 2014, the Press Trust of India reported that Bharti Infratel had approached Idea, as well as Vodafone India, with a proposal to acquire their respective tower portfolios in seven telecom circles.
Tower sales the world over have been making headlines lately.
On Thursday, Telecom Italia announced plans to sell a 40% stake in its INWIT towers subsidiary via an initial public offering (IPO).
Earlier this month, Saudi Arabia’s Mobily confirmed that it is reviewing its towers portfolio.
In April, shareholders of Mexican telco giant America Movil approved plans to spin-off its mobile towers into a separate entity to be known as Telesites.
