Vodafone and Idea sell their towers worth 7850 Cr for speeding up mobile network

Mumbai, November 13: India’s leading telecom companies Vodafone India and Idea are going to sell their tower assets to American Tower Corporation (ATC) worth Rs 7850 Cr. This sale of towers will be done separately before the merger of these two companies. In this deal Vodafone India will sell its towers worth 3850Cr whereas the latter will sell for Rs 4000Cr.

The standalone tower business of both companies comprises of a combined portfolio of about 20,000 towers with a tenancy ratio of 1.65 as on June 30, 2017.

Earlier this year, Vodafone India and Idea Cellular announced their merger in order to become the largest telecom player in the country.

American Tower Corporation is one of the largest global real estate trusts and one of the world’s largest independent telecom tower companies with a portfolio of around 149,000 communications sites.

"Both Vodafone India and Idea as customers, and ATC as a mobile network infrastructure provider, have agreed to treat each other as long-term preferred partners, subject to existing arrangements. The parties will work together to further the expansion of high speed mobile networks in India" Companies said.