In the board meeting held on Monday, Bharti Infratel said that the company had decided to proceed with the Scheme of Arrangements for merging its towers with Indus.
Bharti Infratel said in a statement that, “After deliberations, the Board has decided to authorize the Chairman to proceed with the Scheme and to comply with other procedural requirements for completion of the merger including approaching NCLT to make the effective Scheme subject to certain procedural condition precedents,”
The shareholding structure in the merged company would result in Airtel holding 36.7 per cent, Vodafone 28.2 per cent and PEP 3.2 per cent comprising a total of 68.6 per cent shareholding of Infratel and the remaining 31.4 per cent to Indus by share swap, according to the statement made by Bharti Infratel. The company added that the shareholding is subject to changes as per the closing adjustments.
Before the Supreme Court pronounces its verdict on the AGR case, Vodafone Idea said, “The above is basis cash consideration chosen by Vodafone Idea Limited (VIL) for its 11.15 per cent shareholding in Indus which will be based on 60 days VWAP as at Closing date (and agreed closing adjustments). Based on today’s calculation, cash consideration comes to approx. INR 4,000 crore,”
Vodafone Idea Ltd. (VIL) and Vodafone Group Plc. have decided to enter into a security arrangement including a combination of deposits by VIL, a certain number of shares of the merged company issued to V Plc. for payment obligations which can be triggered during certain situations as mentioned in the statement. The security arrangements would remain subject to regulatory approvals and approval of the lenders of V Plc’s.