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Cabinet okays hiving off BSNL mobile towers into separate company

Modi has given its approval for hiving off mobile tower assets of BSNL into a separate company, fully-owned by BSNL: Official statement

Press Trust of India  |  New Delhi 

BSNL
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The Cabinet on Tuesday approved hiving off mobile towers of state-run telecom firm into a separate company.

There are around 4,42,000 mobile towers in the country, out of which owns more than 66,000.


"The chaired by the has given its approval for hiving off mobile tower assets of Bharat Sanchar Nigam Limited (BSNL) into a separate company, fully-owned by BSNL," an official statement said.

An independent, dedicated tower company of with a focused approach will lead to increasing of external tenancies and consequentially higher revenue for the new company, it added.

"This approval authorises to monetise its telecom tower infrastructure with the formation of a separate subsidiary company," the statement said.

A tower infrastructure company owns the passive infrastructure asset and leases it to telecom service providers enabling them to minimise duplication of investments and economise on costs of operation and maintenance, leading to improvement in profitability.

First Published: Wed, September 13 2017. 01:06 IST
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