Airtel to acquire Tikona Networks' 4G business

Airtel to acquire Tikona Networks' 4G business

Bharti Airtel has entered into an agreement with Tikona Digital Networks to acquire its 4G business including the broadband wireless access (BWA) spectrum and 350 sites, in five telecom circles for approximately Rs 1,600 crore.

 As per the agreement, the acquisition of the 4G business in Gujarat, UP (East), UP (West) and Himachal Pradesh will be undertaken by Airtel, while in Rajasthan circle, it will be accomplished through Airtel’s subsidiary Bharti Hexacom. Post acquisition, the combined spectrum holding of Airtel in these five circles will be within the spectrum caps prescribed by the government, Bharti Airtel said.

Tikona currently has 20 MHz spectrum in the 2,300 MHz band in Gujarat, UP (East), UP (West), Rajasthan and Himachal Pradesh circles. Airtel plans to roll out high speed 4G services on the newly acquired spectrum in the five circles immediately after the closure of the transaction, the company said.

The proposed acquisition will enable Airtel to bill BWA spectrum gaps in the 2,300 MHz band in Rajasthan, UP (East) and UP (West), thereby securing a pan India footprint in the band. The deal will significantly bolster Airtel’s spectrum position in Gujarat and Himachal Pradesh, taking its overall BWA spectrum holding to 30 MHz each in these circles. Post completion of the deal, Airtel will have 30 MHz in the 2,300 MHz in 13 circles giving it tremendous advantage to handle surging data demand, Airtel added.

 “Airtel’s continued focus on strengthening its 4G capabilities across multiple spectrum bands will be complimented with the BWA spectrum acquisition from Tikona. We believe that combining our capabilities in TD-LTE and FD-LTE will further bolster our network, and help us provide unmatched high-speed wireless broadband experience to our customers,” Bharti Airtel managing director and chief executive officer (India and South Asia) Gopal Vittal said.

We remain committed to our vision of leading India’s digital revolution by offering world-class and affordable telecom services through a robust spectrum portfolio spread across multiple bands, Vittal added.

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