Spice Comm to sell 875 telecom towers

Spice Comm to sell 875 telecom towers

Mumbai: Mobile service provider Spice Communications today said it will sell 875 telecom towers to a tower operating firm and would raise over $800 million through debt.

The company’s board of directors at its meeting yesterday approved a proposal in this regard, the B K Modi promoted company said in a filing to the Bombay Stock Exchange.

Spice Communications has also decided to avail borrowing facilities to the tune of $810 million from Hong Kong and Shanghai Banking Corporation (HSBC) and China Development Bank (CDB).

The company, however, did not divulge any further details.

The firm would avail up to $400 million borrowing facility from HSBC and would further raise 410 million dollars debt from CDB for growth and network expansion in the existing telecom circles.

Shares of the company reacted positively to this news and surged 5.19% to Rs62.80 on the BSE in early morning trade.