Quippo-WTTIL announced the acquisition of telecom tower arm of Tata Teleservices Maharashtra Limited (TTML) through a share purchase agreement for the sale by TTML of its 100% stake in 21st Century Infra Tele Ltd. (TFCITL), the tower arm of TTML, to Quippo-WTTIL.

The Rs 1,318 crore deal will increase Quippo-WTTIL’s tower count by 2,535 towers with increased presence in Mumbai, Maharashtra and Goa and total tower count to scale past the 38,000 mark. TFCITL claims to have a tenancy ratio of 2.15.

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 world’s 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 contiguous network 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”.

The deal with TFCITL also includes setting up 4,000 new towers for the firm over a period of five years.

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 world’s 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.”

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.”