Tata Tale sells tower business to Quippo-WTTIL for Rs1,318 crore
18 March 2010
Indian mobile services provider Tata Teleservices (Maharashtra) Ltd (TTML) has divested its 100 per cent stake in its telecoms tower subsidiary 21st Century Infra Tele Ltd (TFCITL) to Quippo Telecom Infrastructure Ltd and Wireless TT Info Services Ltd (WTTIL) for Rs1,318 crore ($290 million).
The transaction will result in a net cash inflow of more than Rs900 crore to Tata Tele, which will support its investment and growth plans, Tata Tele said in a release.
Quippo-WTTL is the world's largest independent telecom infrastructure company.
Announcing the deal, Sunil Kanoria, director, Quippo-WTTIL said: "The acquisition complements our tower portfolio in the strategically important markets, at the same time providing us a contiguous network nationally."
Speaking on the occasion, Mukund Govind Rajan, managing director of TTML, said the divestment would allow the company to focus on its core business priorities of strengthening market leadership in the voice and data segments.
"The cash inflow from this transaction in excess of Rs900 crore will support our ambitious investment and growth plans," he added.