Bharti Airtel, the country's largest telecom operator, will acquire Videocon Telecom’s spectrum in six circles--Bihar, Haryana, Madhya Pradesh, UP (East), UP (West) and Gujarat-- for Rs 4,428 crore, through a bandwidth trading deal, the company said in a notice to the Bombay Stock Exchange.
The move comes a day after Idea Cellular terminated its spectrum trading agreement with Videocon Telecom for the latter’s Gujarat and UP West circles, signed for Rs 3310 crore in November last year.
“Bharti Airtel has entered into a definitive agreement with Videocon Telecommunications Limited to acquire, at an aggregate consideration of Rs. 44,280 ?million, rights to use 2 x 5 MHz spectrum in the 1800 MHz Band,” Airtel ??said in a notice to the Bombay Stock Exchange.
The spectrum is valid up to December 18, 2032. Airtel said that the closing of the transaction is subject to satisfaction of the standard conditions, including conditions stated in the Spectrum Trading Guidelines.
