While telcos merge, investors rush for tower assets

Investment in Bharti Infratel is the third such deal in six months

With the number of telecom operators shrinking, tower infrastructure companies are expected to lose tenants. However, there is an unusual rush to invest in the latter.

On Tuesday, KKR and CPPIB bought 10.3 per cent stake in Bharti Infratel for Rs 6,193 crore, the third such deal in six months by financial or strategic investors in telecom tower companies.

In December, Canada-based Brookfield Infrastructure bought a controlling stake in the tower business of Reliance Communications for Rs 11,000 crore. Two months earlier, American Tower Corporation bought 51 per cent stake in Viom Networks for Rs 7,635 crore, which included 35