Mumbai: In an instance of consolidation in the capital-intensive telecom towers space, Ascend Telecom on Wednesday announced the merger of India Telecom Infra Limited (ITIL) with itself to create an entity with 4,000 towers spread across the country.
“The merger will create one of India’s strongest independent telecom tower operators with a nationwide footprint, approximately 4,000 towers,” a release issued by private equity fund, New Silk Route, which owns Ascend Telecom, said.
ITIL is jointly owned by Infrastructure Leasing and Financial Services (IL&FS) and TVS group’s TVS Interconnect Systems.
However, finer details of the transaction, including the value, were not immediately known.
“The companies will soon be proceeding to file a scheme of amalgamation with the High Courts of Andhra Pradesh and Tamil Nadu to merge ITIL into Ascend,” the release said.
Between them, the two companies currently serve all the mobile operators in India like Idea, BSNL, Vodafone, Tata Teleservices and Aircel, among others.
The deal comes within months of the Anil Ambani-led Reliance Infratel calling off a Rs 50,000-crore deal to merge with GTL Infrastructure in September 2010 over issues regarding valuation. Early last year, GTL had acquired 17,000 towers of Aircel for Rs 8,400-crore.