News
Indian operators thrashing out an agreement with American Tower that will cover the sale of over 20,000 masts
Vodafone and Idea Cellular are working on the finer points of a deal that will see them sell US$1 billion worth of tower assets in India to American Tower, it emerged this week.
The telcos are in the process of securing regulatory approvals for the merger of their Indian mobile businesses and the sale of towers addresses overlapping tenancies ahead of that tie-up, the Economic Times reported.
Citing unnamed sources, the paper said the all-cash deal will encompass 10,926 Vodafone towers and 8,886 from Idea.
The telcos are finalising the details of the transaction with American Tower executives in Mumbai, the paper said, after parallel negotiations with Canada’s Brookfield Asset Management and local infrastructure fund IDFC Project Equity collapsed when the parties failed to agree on valuation.
Vodafone and Idea both hold tower assets through their stakes in Indus Towers, a joint venture with Bharti Infratel.
Earlier this month the Economic Times reported that the telcos are working on a multi-stage deal that will see a consortium of global investment funds take control of Bharti Infratel, which will in turn hold the majority of Indus Towers. The transaction will value the business at $11 billion.
