Telecom major Bharti Airtel on Thursday said it will acquire Videocon Telecommunications's spectrum in six circles in the 1800 MHz Band for a consideration of Rs 4,428 crore.
New Delhi: Telecom major Bharti Airtel on Thursday said it will acquire Videocon Telecommunications's spectrum in six circles in the 1800 MHz Band for a consideration of Rs 4,428 crore.
"Bharti Airtel has entered into a definitive agreement with Videocon Telecommunications Ltd (VTL) to acquire, at an aggregate consideration of Rs 4,428 crore, rights to use 2x5 MHz spectrum in 1800 MHz band for six circles," the company said in a BSE filing.
The six circles are Bihar, Haryana, Madhya Pradesh, UP (East), UP (West) and Gujarat.
The aforesaid spectrum is valid up to December 18, 2032.
The closing of the transaction is subject to satisfaction of standard conditions.
Reacting to the news, Bharti Airtel's shares were trading 2.89 per cent higher at Rs 349.45 on BSE.
Yesterday, Idea Cellular and Videocon Telecommunications had mutually agreed to call off their Rs 3,310-crore spectrum deal for two telecom circles.
Idea in November had announced to buy airwaves held by Videocon in these two circles for Rs 3,310 crore, which was billed as the first spectrum trading deal of the country.
Videocon had acquired spectrum in 1800 MHz band, known as 2G spectrum, in these two service areas for a total of Rs 1,329 crore in November 2012 and made upfront payment of Rs 438.57 crore to the government.
Meanwhile, Idea said it continues to aggressively launch its high speed mobile broadband 4G LTE services. The company today also launched its 4G LTE services in the 10th telecom service area of Maharashtra and Goa, from Nagpur city.