Telecom tower company, Ascend Telecom, is planning to raise about $100 million through a listing in the US. Under this, existing investors could cumulatively dilute up to 25 per cent stake of the company. The funds raised are likely to be used to expand the company?s tower footprint in the country.
Presently, Ascend Telecom has close to 4,500 telecom towers in the country and a tenancy ratio of less than two. The company?s decision to raise funds to increase its footprint comes at a time when the telecom industry is experiencing high growth in the mobile data segment. Reliance Jio Infocomm Limited (RJIL) has signed a tower sharing agreement with Ascend for the roll out of its 4G services.
About 68 per cent stake in Ascend Telecom is held by New Silk Route reportedly while the balance is held by IL&FS and TVS Interconnect Systems, a TVS Group company.
