Vodafone gets lenders' nod for Indus Towers-Bharti Infratel merger
Vodafone Group Plc on Monday said that its lenders have given their consent for the merger of Indus Towers and Bharti Infratel.
On September 1, Vodafone Group had announced that it had agreed to proceed with the proposed merger. The agreement to proceed on the deal is conditional on consent for a security package for the merged entity from Vodafone’s existing lenders
"The agreement to proceed was conditional on consent for a security package for the benefit of the Combined Company (the "Security Package") from Vodafone's existing lenders (for the Euro 1.3 billion loan utilised to fund Vodafone's contribution to the Vodafone Idea Ltd rights issue in 2019). This consent has now been received," the company said in a statement on Monday.
Vodafone Idea will divest its entire 11.15% stake in the merged entity, which will also be called Indus Towers.
The parties will now approach the National Company Law Tribunal to make the merger scheme effective. The parties are working to complete the transaction expeditiously, it added.