Tata Tele merges tower arm with Quippo in a Rs2,400 deal; plans GSM launch

05 January 2009

Tata Teleservices has sold a 49-per cent stake in its telecom tower business, Wireless Tata Telecom Infrastructure, to Quippo Telecom Infrastructure Ltd (QTIL), in a deal worth around Rs2,400 crore.

Tata Teleservices, India's No 2 CDMA mobile phone operator, will also shortly announce the launch of GSM-based service, its managing director Anil Saldhana said.

"We will shortly announce our GSM launch. We have got spectrum in 13 circles and the rest we expect to add by month-end, baring one or two,'' Saldhana told a news conference.

Kolkata-based QTIL will in turn transfer the 5,500 telecom towers it owns to Wireless Tata Telecom Infrastructure and take management control in the combined firm, TTSL officials said.

Quippo Telecom Infrastructure is a SREI Group subsidiary.

The board representation will, however, consist of representatives from both partners.