Vi to raise Rs 450 billion through equity and debt (India)

Vodafone Idea Limited (Vi) is planning to raise up to Rs 450 billion through a combination of equity and debt. The operator announced that its board has approved the raising of Rs 200 billion through equity or equity-linked instruments. This includes the Rs 20 billion funding committed earlier by one of its promoters, the Aditya Birla Group. The equity fund-raising is expected to be completed in the April-June 2024 quarter.

Airtel waives its right of first refusal to acquire TCIL’s stake in Bharti Hexacom

Bharti Airtel has waived its right of first refusal to acquire Telecommunications Consultants India Limited’s (TCIL) 30 per cent stake in Bharti Hexacom. In January 2024, Airtel’s subsidiary, Bharti Hexacom, filed a draft offer document with the Securities and Exchange Board of India to sell a 20 per cent stake in TCIL, which will give the government a partial exit. TCIL’s holding will drop to 10 per cent after Bharti Hexacom’s initial public offering, while Airtel will retain its 70 per cent stake.

ATC records goodwill impairment charge worth $322 million for its India unit

American Tower Corporation (ATC) has recorded a goodwill impairment charge worth $322 million for its India unit during calendar year 2023 amid continuing business challenges in the country. In a regulatory filing with the US Securities and Exchange Commission, ATC stated that the carrying value of tenant-related intangible assets in India was $344.8 million as of December 31, 2023, representing 3 per cent of its consolidated balance of $12.2 billion. The carrying values of its tower portfolio and network location intangible assets in India were $916.2 million and $243.6 million respectively, representing 10 per cent and 8 per cent of its consolidated balances of $8.8 billion and $3.2 billion respectively.

Artisan Partners divests 1.2 per cent stake in Indus Towers for Rs 7.17 billion

Artisan Partners has divested a 1.2 per cent stake in Indus Towers for Rs 7.17 billion through an open market transaction. Artisan Partners, through its affiliate Artisan International Value Fund, offloaded 33,346,663 shares, amounting to a 1.24 per cent stake in Indus Towers. The shares were disposed off at an average price of Rs 215.10 apiece, taking the deal value to Rs 7.17 billion. Following the transaction, Artisan Partners’ shareholding in Indus Towers has declined to 0.47 per cent from 1.71 per cent.

Yotta Data Services raises Rs 13.57 billion in debt from SBI

Yotta Data Services and its subsidiary, NMDC Data Centre, have raised over Rs 13.57 billion through a long-term loan from the State Bank of India (SBI). The loan facility includes debt worth Rs 13 billion and a non-fund-based facility worth Rs 570 million. The debt includes an issue of 80,000 non-convertible debentures worth Rs 8 billion to SBI. The company has raised the debt against its two data centres in Navi Mumbai by hypothecating the assets in favour of the bank. Certain receivables from the company’s data centre in Powai, Mumbai have also been pledged.

IFC and EAIF invest in Senegal telecom bonds (Senegal)

The International Finance Corporation (IFC), the private sector arm of the World Bank Group, has invested in two receivables-backed bonds issued by a securitisation vehicle of Sonatel. IFC invested XOF 25 billion in the two bonds out of the total XOF 75 billion, representing a third of the total issuance in Senegal’s local currency. The Emerging Africa Infrastructure Fund (EAIF), the co-anchor investor, invested XOF 23.5 billion, with the remaining amount being publicly placed in the market. The proceeds from the bonds, the first securitisation in West Africa’s telecom sector, will support Sonatel’s expansion of 4G coverage and fibre connectivity in rural areas, increase bandwidth and improve digital infrastructure. Invictus Capital & Finance acted as the arranger, while KF Titrisation was the management company for the deal.

ADB and iSON sign deal to enhance digital connectivity in the Philippines (Philippines)

The Asian Development Bank (ADB) and iSON Tower Limited Inc. have signed a PHP 2.4 billion loan as part of a broader PHP 4.8 billion co-financing package (around $85 million) led by ADB to support the construction, development and operation of 800 shared telecom towers to expand digital connectivity for underserved communities in the Philippines. ADB and the Security Bank Corporation are each providing PHP 2.4 billion towards the financing package on a 12-year tenor, with ADB structuring the loans. The project financing is structured to mitigate risks related to greenfield financing of telecom towers in the Philippines. The country’s two leading operators, Globe Telecom, Inc. and Smart Communications, Inc., both have master lease agreements signed with iSON.

Globe Telecom secures P20-B loan from BDO Unibank

Globe Telecom has secured a P20-billion loan facility from BDO Unibank for its expansion plans, which include network build-up and upgrade. The funds will be used to finance the company’s capital expenditure, debt refinancing and/or general corporate requirements. Prior to this, Globe signed term loan facilities with the Bank of the Philippine Islands, China Banking Corp. and Robinsons Banking Corp. for PHP 12 billion.