According to an exchange filing, Bharti Airtel will pay Rs 2,388 crore for Vodafone’s 4.7 percent stake in Indus Towers, with the transaction taking place at Rs 187/share. Airtel and British telecom giant Vodafone Plc agreed in February to buy 4.7 percent of telecom infrastructure company Indus Towers Ltd.
The acquisition of a Vodafone stake in Indus Towers is only possible if it is for the purpose of infusing funds into Vodafone Idea and paying off the tower company’s debts. Prior to the transaction, Vodafone owned approximately 28 percent of Indus Towers, while Bharti Airtel owned nearly 42 percent.
Indus Towers, formerly known as Bharti Infratel Ltd, is a market leader in passive telecom infrastructure. It builds, owns, and manages telecom towers and communication structures for a number of mobile operators.
With a portfolio of over 1,84,748 telecom towers, the company is one of the country’s largest tower infrastructure providers, with a presence in all 22 telecom circles. Indus Towers serves all wireless telecom service providers in India.
Indus Towers reported a 16 percent increase in consolidated profit to 1,570.8 crore in the three months to the end of December 2021, while revenues were 6,927 crore. In November 2020, Indus Tower consolidated with Bharti Infratel. Year on year, the company’s total mobile tower base increased to 1,84,748 from 1,75,510.