The American Tower Firm (ATC) is seeking to promote a stake in its Indian enterprise unit to a number of non-public traders. The Boston-based tower firm desires to scale back publicity within the Indian market. Vodafone Thought (Vi), the ailing non-public telecom firm, is the largest buyer of ATC in India. In response to an ET report, in a latest submitting in US Securities and Change Fee (SEC), the corporate stated that the stake sale could be part of its broader efforts to scale back its publicity in India.
It’s price noting that Vodafone Thought had earlier stated that it might not be capable of make funds in full due to monetary points. The telco can be attempting to boost funds to assist its enterprise floor to a degree the place it could compete with the opposite non-public telcos similar to Reliance Jio and Bharti Airtel.
Learn Extra – Vi Prone to Get Rs 2000 Crore from Promoters: Report
“We’re delicate to hostile adjustments within the creditworthiness and monetary power of our prospects…we’re exploring numerous strategic options , together with the sale of an fairness curiosity in our India operations to a number of non-public traders, (although), any such proposed transaction could be topic to situations, together with regulatory approvals in India,” ATC stated in an SEC submitting dated February 23.
At current, ATC has 100% possession in its India unit known as ATC Telecom Infrastructure Pvt Ltd, that holds an infrastructure supplier category-I (IP-I) registration certificates issued by the communnications ministry. The shortcoming of Vi to clear its dues to ATC has posed a giant problem for the tower firm.
To recall, late in February, Vi had additionally allotted optionally convertible debentures (OCDs) price Rs 1600 crore to ATC. This occurred after the telco may see the conversion of statutory curiosity dues into fairness for the federal government.
