quippo-wttil acquires tower business of tata teleservices (maharashtra) ltd

8/22/2019 Quippo-WTTIL Acquires Tower Business of Tata Teleservices (Maharashtra) Ltd.

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Press Release

For Immediate Release

Quippo-WTTIL Acquires Tower Business of Tata Teleservices (Maharashtra) Ltd.

TTML to divest 100% stake in its tower subsidiary to Quippo-WTTIL

Deal valued at over Rs. 1300 crore to complement the existing tower portfolio of

QUIPPO-WTTIL

Transaction includes tower portfolio in Mumbai, Maharashtra and Goa

QUIPPO-WTTIL to have a contiguous national network post acquisition

New Delhi, Thursday, March 18, 2010: QTIL (Quippo Telecom Infrastructure Ltd.) & WTTIL

(Wireless TT Info Services Ltd.) - QUIPPO-WTTIL, the worlds largest independent telecom

infrastructure company and Tata Teleservices (Maharashtra) Limited (TTML) today announced

a share purchase agreement for the sale by TTML of its 100% stake in 21 st Century Infra Tele

Ltd. (TFCITL), the tower arm of TTML, to Quippo-WTTIL. As part of this deal, TFCITLs entire

portfolio of 2535 towers in Mumbai, Maharashtra and Goa will be acquired by QUIPPO-WTTIL

at an enterprise value of Rs. 1318 crore. The transaction will provide strategic advantage to

QUIPPO-WTTIL as it will complement the tower portfolio of the company in Mumbai,

Maharashtra and Goa, where QUIPPO-WTTIL does not have a significant presence currently.

The TFCITL portfolio, with a high tenancy ratio of 2.15, will further strengthen QUIPPO-WTTILs

current tenancy ratio which is in excess of 2. This transaction will take the overall portfolio of

QUIPPO-WTTIL to over 38000 towers nationally, further consolidating its leadership position in

the industry - both from a portfolio and tenancy perspective.

The acquisition of TFCITL will give QUIPPO-WTTIL a strong countrywide footprint by

strengthening its presence in the new geographies. Mumbai being a metro is one of the most

attractive circles, where site acquisition is difficult & therefore inorganic strategy will help thecompany in gaining a ready presence in this market. This transaction will also bring immense

benefit to QUIPPO-WTTIL with the 3G and WiMax auctions to be conducted shortly and hence

the additional requirements for towers in these strategically important geographies, especially

Mumbai. The deal will help QUIPPO-WTTIL leverage the combined network strength and

capture new customers, thereby enhancing the tenancy further.

Announcing the deal, Mr. Sunil Kanoria, Director, QUIPPO-WTTIL said With a modest

beginning in 2005, and subsequent to our partnership with Tata Teleservices last year, today we

are the worlds largest independent telecom infrastructure company. It has been an extremely

exciting and gratifying journey within a short duration. The acquisition complements our tower

portfolio in the strategically important markets, at the same time providing us a contiguousnetwork nationally. The proposed transaction will result in a renewed robust organisation with

enhanced product profile in new geographies, economies of scale with numerous cost benefits

due to operational synergies and a stronger financial position, thereby resulting in greater

shareholder value.


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Press Release


As part of this deal, QUIPPO-WTTIL has also received a confirmed commitment of approx.

4000 towers roll-out over a period of five years from TFCITL in Mumbai, Maharashtra and Goa.

The deal takes the partnership of Quippo with Tata Teleservices, which began last year, to the

next level. This is a classic example of the endeavour of two like-minded partners coming

together to create an independent world-class telecom infrastructure company.

According to Mr. Arun Kapur, Chief Executive Officer, QUIPPO-WTTIL, We have always kept

customer centricity and innovation at the core of our business. This has helped us successfully

strengthen our position as the worlds largest independent telecom infrastructure company. Our

various innovative solutions and the steps taken to enhance operational efficiencies along with

our partner operators have resulted in reducing the total cost of ownership. Post this acquisition,

we will have an overall portfolio of over 38000 towers by the end of March 2010 and the highest

tenancy ratio of over two, in the industry. With this transaction, we are well on course to

achieving our vision of being the "Most Valuable Independent Shared Telecom InfrastructureCompany Globally".

Speaking on the occasion, Dr. Mukund Govind Rajan, Managing Director, Tata Teleservices

(Maharashtra) Ltd. (TTML), said We are delighted with the recognition of the value that TTML

has created in TFCITL. Going forward, this transaction allows us to focus on our core business

priorities of strengthening our market leadership in the voice and data segments. The cash

inflow from this transaction in excess of Rs 900 Crores will support our ambitious investment

and growth plans.

About Quippo-WTTIL

QTIL (Quippo Telecom Infrastructure Ltd.) - WTTIL (Wireless TT Info Services Ltd.) is the

pioneer in the Shared Passive Telecom Infrastructure industry in India. Earlier this year, QTIL

announced its partnership with Tata Teleservices Ltd. (TTSL) with the merger of their passive

infrastructure businesses. Quippo-WTTIL is an independent entity managing the tower

infrastructure business with around 38000+ towers portfolio and with plans of rolling out nearly

25-30,000 additional towers in the next two years. The company has by far the highest tenancy

of over 2 tenants per tower. QUIPPO-WTTIL is the strongest player in neutral host Shared In-

Building Communication Solutions (IBS) with installations already completed at most of the

major airports.

About Tata Teleservices (Maharashtra) Limited:

Tata Teleservices (Maharashtra) Limited (TTML) is a fully integrated, premier

telecommunication service provider licensed to provide telecommunication services in

Maharashtra (including Mumbai) and Goa. TTML has wireless operations on both CDMA (Tata

Indicom) and GSM (Tata DoCoMo) platforms. It focuses on all market segments, i.e.

commercial, residential and public telephony. TTML has over 12 million customers in


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Maharashtra and Goa. These include reputed corporates, SMEs and residential customers. The

Company has been rated the No. 1 wireless operator in terms of overall customer satisfaction

across Maharashtra (including Mumbai) and Goa, in surveys commissioned by the Telecom

Regulatory Authority of India (TRAI). The company is listed on the Bombay Stock Exchange

Limited (BSE) (Scrip code-532371) and the National Stock Exchange of India Limited (NSE)(Scrip symbol TTML).

For further information, please contact:

Raza Khan Sonal Thind

Head Corporate Communications Manager Corporate Communications

+91 9211784892 + 91 9211784692

quippo-wttil acquires tower business of tata teleservices (maharashtra) ltd

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