Tatas agree to pay $320 mn as compensation to ATC by fourth quarter of FY19

The Tatas have agreed to pay $320 million (Rs 23.67 billion) by the fourth quarter of FY19 as one-time settlement to US-based tower company ATC as compensation for cancelling their long-term tenancy agreement with the company. 

They have also, along with IDFC, given notices to exercise their put option — under which they will together sell 15 per cent stake in ATC Telecom Infrastructure (ATCTIPL) to the US firm for Rs 29. 4 billion, subject to regulatory approvals. 

With this move, the Tatas’ equity holding in the company will reduce by half from 26 per cent to 13 per cent.