Bharti Airtel gains on acquisition of Aircel's 4G Spectrum

The stock gained nearly 4% at Rs 347 on the National Stock Exchange in early morning trade.

Bharti Airtel has gained nearly 4% at Rs 347 on the National Stock Exchange (NSE) in early morning trade after the company said it has entered into an agreement with Aircel to acquire its 2,300-MHz spectrum band in eight circles for Rs 3,500 crore. The acquisition will enable Bharti Airtel to become a pan-India 4G operator.

“Bharti Airtel and its subsidiary Bharti Hexacom Limited have on April 8, 2016 entered into a definitive agreement with Aircel and its subsidiaries Dishnet Wireless Limited and Aircel Cellular Limited to acquire rights to use 20 megahertz (MHz) in 2,300 Band 4G TD spectrum in the eight circles”, the company said in a regulatory filing.

These circles are Tamil Nadu (including Chennai), Bihar, Jammu and Kashmir, West Bengal, Assam, the North-East, Andhra Pradesh and Orissa at an aggregate consideration of Rs 3,500 crore, it added.

Spectrum held by Aircel and Dishnet is valid up to September 20, 2030.

Till 09:38 AM, a combined 696,038 shares changed hands on the counter on the BSE and NSE.