Airtel announces strategic agreement with Loop Mobile
The Indian telecom major to acquire Loop’s subscribers and some assets for US$113M; also announces crossing 200 million users in the countryBy Saloni Surti 19 Feb, 2014
According to the agreement, Airtel will not take over the management and employees of Loop, but will get all its subscribers and assets, including towers, retail outlets etc. As per industry estimates, the deal is worth INR 700 crore (US$113M).
Loop was required to participate in the telecom spectrum auction that concluded on February 13, 2013 to win back its spectrum for continuing operations. Loop holds eight MHz of airwave frequency in 900 MHz ban. Since the service provider did not participate in the auctions, its services shall not get renewed.
Airtel is now in its 20th year and announced crossing 200 million subscribers in India today. “(Airtel) has crossed the 200 million mobile subscriber mark in India, further consolidating its leadership position in the world’s second-largest mobile market,” said the company’s official announcement.
The telecom service provider crossed its first 100 million user mark in 2009. Airtel got its mobile telephony permit in 1994 and started its operations in 1995.
In January, Airtel reported a jump of 2.15 times in consolidated quarterly profit during October-December quarter. Its mobile internet business marked a jump of 105.2 per cent in revenues over the same period last year.
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Bharti Airtel Ltd India Bharti Airtel Limited, commonly known as Airtel, is an Indian multinational telecommunications services company headquartered in New Delhi, India Latest funding: Not specified Investors: Not specified