Idea Cellular is planning to sell its independent towers for Rs 75.8 billion ($1.2 billion). The company has attracted interest from telecom tower companies including Bharti Infratel, American Tower Corporation, and Malaysia-based telecom company Axiata, which owns equity interest in Idea Cellular. Funds raised from this sale are likely to be used to reduce debt burden, which stood at Rs 140 billion in 2014-15.
Axiata has reportedly shown interest in the past to acquire Idea Cellular?s tower business in a bid to consolidate its own tower assets in Asian markets where it owns or operates joint ventures in wireless telecommunications. Meanwhile, Bharti Infratel that manages over 35,000 towers has been looking at acquisitions in India and neighbouring markets, funded by its cash surplus of Rs 75 billion. Similarly, ATC, which has a smaller footprint in the country with 13,000 towers, too is looking at inorganic growth opportunities.
