Vodafone India announced on April 3 the completion of the sale of its standalone tower unit in India to ATC Telecom Infrastructure Private Limited for an enterprise value of INR 38.5 billion (€478 million). Vodafone India is merging with Indian telecom company Idea Cellular, and both companies announced their intention to sell their individual tower businesses.
Completion of Idea Cellular’s sale of its standalone business to ATC is expected in the first half of this year. Vodafone India and Idea Cellular collectively decided to sell their tower units to strengthen the combined financial position of the merged entity. The merger is expected to complete in the first half of this year.
Vodafone Group and Idea Cellular recently announced the proposed leadership team of the combined business, which will come into effect after the merger has been completed. This is in line with the original merger announcement of 20 March 2017, which stated that the management team of the combined business would be confirmed prior to closing.
Vodafone and Idea Cellular said they continue to make good progress in securing the required regulatory approvals for the merger, in keeping with the Modi Government’s commitment to improve the ease of doing business in India, and completion is expected to be in the first half of the current calendar year.
The existing leadership teams of Idea Cellular and Vodafone India will continue to manage their separate businesses and be accountable for each company’s operational performance until the merger becomes effective. It is only upon completion of the merger that the two businesses will cease to operate as distinct and competing entities.
