Both Vodafone and Idea had agreed to sell off their respective standalone towers business units, ahead of the prospective merger between the two companies
Vodafone India has completed the sale of its standalone tower business in India to American Tower, according to a company release.
The deal is worth €478 million and was first proposed back in November 2017.
The move is intended to free up cash for investment for the newly formed entity in India’s highly competitive mobile market place.
Between them, Idea and Vodafone India own around 20,000 towers across the sub-continent.
Idea is expected to announce the sale of its own standalone tower business to American Tower in the coming months.
Commenting on the deal, Jim Taiclet, CEO American Tower’s told The Hindu newspaper: “We expect the addition of these two high quality portfolios to be highly complementary to our existing assets and to contribute to long-term leasing growth as India’s leading mobile operators accelerate their 4G network deployments.”
The merger between Idea and Vodafone is expected to complete in the first half of 2018, following the sale of Idea’s standalone tower business unit.