Bharti Airtel, Hexacom To Sell 16,100 Telecom Towers To Indus Towers For Rs 3,309 Crore

Bharti Airtel Ltd. and Bharti Hexacom Ltd. will sell a total of 16,100 telecom towers to their subsidiary Indus Towers Ltd. by way of slump sale, according to exchange filings that came out on Thursday.

Bharti Airtel will transfer around 12,700 towers for up to Rs 2,174.6 crore, while Bharti Hexacom will sell approximately 3,400 towers for up to Rs 1,134.1 crore.

The aggregate cost of acquisition for India's largest mobile tower installer, Indus Towers will be a maximum of Rs 3,308.7 crore, with the transaction expected to be completed by March 31, 2025, subject to necessary approvals.

Indus Towers' board approved the acquisition, which will be financed through borrowings. The company said the deal aligns with its strategy to expand market share and enhance operational synergies. The valuation was conducted independently, and the transaction is being carried out at arm’s length, the exchange filing said.

Bharti Airtel and Bharti Hexacom stated in their filings that the transfer will allow for better management of tower operations within the group and improve focus on passive infrastructure assets. The deal excludes sites under the Universal Service Obligation Fund which helps provide affordable telecom services to people in rural and remote areas of India.

The announcement comes after Bharthi Airtel and Hexacom announced their earnings for the quarter ended December 31, 2024 on Thursday.

Bharti Airtel's consolidated net profit surged over fourfold sequentially in the third quarter of the current financial year to Rs 14,781.2 crore, beating analysts' estimates. The telecom giant had reported a profit of Rs 3,593.2 crore in the previous quarter.

Bharti Hexacom reported that it's net profit rose 23% to Rs 260.90 crore versus Rs 212.70 crore in the same quarter last fiscal.

Indus Towers reported on Jan. 23 that it's profit more than doubled to Rs 4,003 crore in the third quarter of this financial year, beating analysts' estimates. The company had reported a profit of Rs 1,540 crore in the same quarter of the previous fiscal.