Airtel completely acquires Qualcomm founded 4G company

Airtel did not disclose deal value that enables them to have 100% ownership in company

Bharti Airtel, the largest telecom operator by subscriber base, on Friday, said that it has acquired Qualcomm’s stake in the Wireless Business Services Private Limited, a joint venture that held broadband wireless access (BWA) spectrum which is used for 4G services.

The acquisition happens almost a year prior than it was actually planned. Bharti Airtel did not disclose the deal value that enables them to have 100 per cent ownership in the company.

At the time of buying the BWA spectrum, the company was 13 per cent owned by Global Holding Corp, and Tulip Telecom had a 13 per cent stake, while Qualcomm Asia Pacific had the remaining 74 per cent stake. Qualcomm Asia Pacific, which had a 74 per cent stake in the venture, has gradually reduced its stake to just 6.55 per cent, while Bharti Airtel acquired a 93.45 per cent stake.

Bharti Airtel had paid $165 million (Rs 1,009 crore as per today’s exchange rate) for a 49 per cent stake in 2012. It further acquired an additional two per cent equity in the JV early this year.

The JV has permits and spectrum in four telecom zones – Mumbai, Delhi, Haryana and Kerala. With the deal, Bharti Airtel will now have BWA spectrum and operating spectrum in eight circles.

Bharti Airtel has already launched 4G services in Bangalore, Pune, Kolkata, Chandigarh, Mohali and Panchkula.