Global Assets Holding Corporation to raise Rs560 cr

Global Assets Holding Corporation to raise Rs560 cr
PTI
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First Published: Sun, Oct 14 2007. 03 54 PM IST
Updated: Sun, Oct 14 2007. 03 54 PM IST
Mumbai: Global Assets Holding Corporation (GAHC), which is into telecom network services and tower businesses, is in talks with American and European investors to raise Rs560 crore to gain majority stake in its subsidiaries GTL and GTL Infrastructure.
GTL and GTL Infrastructure are BSE-listed companies and their combined market capitalisation is estimated at Rs5,600 crore.
GTL is into telecom network services and GTL Infrastructure into building and maintenance of telecom tower. Global Assets Holding Corporation is a holding company of both GTL and GTL Infrastructure.
Promoters hold 33% stake in GTL and it has agreed to buy back shares from the market for which it has applied to market regulator Sebi.
Promoters hold about 46.78% stake in GTL Infrastructure.
“We would like to consolidate our stakeholding in GTL as may be permissible under Sebi guidelines time-to-time,” the holding company’s Chairman Manoj Tirodkar said.
GTL Infrastructure is promoted by both Global Assets Holding Corporation and GTL. The promoters are looking to increase their stake upward of 51%.
“Several investors continue to talk to us for proposition to consider an exposure in Global Assets Holding Corporation, though we have yet not finalised on any arrangements,” he said.
GTL Infrastructure would need a fresh capital infusion of Rs7,000 crore to set up 23,000 towers. GTL Infrastructure has set up 1,200 towers in the last financial year and has set a target of 6,700 towers for this financial year. Till date, GTL Infrastructure has set up 3,000 towers.
The telecom sector has been witnessing rapid growth and by 2010, 3,50,000 towers would be needed to support the telecom growth in the country, according to industry data.
GTL has set aside Rs1,000 crore for acquisitions. The company is close to acquiring a network services company in the US that has a revenue of $9 million.
“US is still an analog market. We see a huge opportunity there,” he said.
Last year, GTL acquired UK-based Genesis Consultancy for $9 million. GTL has begun rolling out 3G services in UK, he said.
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First Published: Sun, Oct 14 2007. 03 54 PM IST