Cabinet approves ₹2,480 crore FDI in ATC Telecom1 min read . Updated: 25 Nov 2020, 03:25 PM IST
- ATC Asia Pacific Pte. Ltd is looking to acquire 12.32% stake in ATC Telecom Infra
Union Cabinet on Wednesday approved ₹2,480 crore foreign direct investment (FDI) in ATC Telecom Infra Pvt Ltd. ATC Asia Pacific Pte. Ltd is looking to acquire 12.32% stake in ATC Telecom Infra Pvt Ltd through the FDI route.
"The Cabinet Committee on Economic Affairs chaired by Prime Minister Shri Narendra Modi has approved the FDI proposal no. 4930 for acquisition of 12.32% of the equity share capital (on a fully diluted basis) of M/s ATC Telecom Infrastructure Private Limited by M/s ATC Asia Pacific PTE Limited as a result of exercise of put option by M/s Tata Tele Services Limited (TTSL) and Tata Sons Private Limited (TSPL)," the Union cabinet said in a statement.
This would lead to foreign direct investment inflow of ₹2,480.92 crore. With this approval the cumulative FDI of M/s ATC Asia Pacific PTE Limited (ATC Singapore) into ATC Telecom Infrastructure Private Limited (ATC India) will be ₹5,417.2 crore in financial years 2018-19 to 2020-21.
ATC Telecom Infrastructure Private Limited is engaged in the business of providing telecom infrastructure services to telecom operators. The company has existing FDI approval up to 86.36 % and with this approval it will rise to 98.68% (on a fully diluted basis), the centre said.
Founded in 2006, ATC Asia Pacific Pte Ltd's business includes holding or owning securities of companies other than banks.