Bharti Airtel rose 2.84% to Rs 343.80 at 9:27 IST on BSE after the company said it will pay Rs 3500 crore to acquire rights to use 4G spectrum of Aircel in eight telecom circles.
The announcement was made after market hours on Friday, 8 April 2016.
Meanwhile, the S&P BSE Sensex was up 13.79 points or 0.06% at 24,687.63.
On BSE, so far 41,000 lakh shares were traded in the counter as against average daily volume of 1.62 lakh shares in the past two weeks. The stock hit a high of Rs 345.35 and a low of Rs 341 so far during the day. The stock had hit a 52-week high of Rs 452.45 on 21 July 2015. The stock had hit a 52-week low of Rs 282.30 on 29 January 2016.
Bharti Airtel and its subsidiary, Bharti Hexacom, have on 8 April 2016 entered into a definitive agreements with Aircel and its subsidiaries Dishnet Wireless and Aircel Cellular (together Aircel) to acquire rights to use 20 megahertz (MHz) 2300 Band 4G TD spectrum for eight circles namely, Tamil Nadu (including Chennai); Bihar, Jammu & Kashmir, West Bengal, Assam, North East, Andhra Pradesh and Orissa at an aggregate consideration of Rs 3500 crore.
The spectrum was allotted to Aircel and Dishnet by the Government of India, Ministry of Communication & IT, Department of Telecommunication (DoT) and is valid upto 20 September 2030. The transfer of the right to use for the circles of Andhra Pradesh and Orissa is subject to the revision of spectrum caps with the upcoming auction to be conducted by DoT. With the above acquisition, Bharti Airtel will become pan India 4G operator. The closing of the transaction is subject to satisfaction of the standard conditions as are normal to such transactions, Bharti Airtel said in a statement.
On consolidated basis, Bharti Airtel's net profit declined 22.2% to Rs 1116.90 crore on 3.7% growth in net sales to Rs 24065.90 crore in Q3 December 2015 over Q3 December 2014.
Bharti Airtel is one of the leading global telecommunications service providers with operations in 20 countries across Asia and Africa.
Powered by Capital Market - Live News
