Bharti Hexacom's Tower Deal Gains Majority Shareholder Approval

Bharti Hexacom has received the green light from its majority shareholders to proceed with a transaction involving the sale of its mobile towers to a sister company for Rs 1,134 crore. This approval came during the 30th annual general meeting, as reported in a regulatory filing on Wednesday.

The Bharti Airtel group, the parent company, stated that their resolution to authorize material related party transactions with Indus Towers Limited had been endorsed by 88.28% of votes at the AGM. However, the deal faced some resistance, notably from Telecom Consultants of India (TCIL), a state-run entity holding a 15% stake in Bharti Hexacom, which raised concerns over the valuation.

The postal ballot notice of Bharti Hexacom, dated February 14 and referenced in the AGM report, confirmed the deal to sell the towers to Indus Towers for Rs 1,134.1 crore. Despite public non-institutional shareholder opposition amounting to approximately 2.5%, the proposal was approved by a majority, with TCIL later requesting to revisit the process, according to an April 9 update.

(With inputs from agencies.)