Bharti Airtel acquires additional 5G spectrum for ₹6,857 crore
What's the story
Bharti Airtel has secured a 20-year lease on 97MHz of spectrum across key circles for ₹6,857 crore in the recent 5G spectrum auction.
This includes a purchase of 15MHz by Bharti Hexacom for ₹1,001 crore.
The acquisition was announced in a stock exchange filing on Wednesday, and is expected to enhance Airtel's sub-giga hertz and mid-band holdings, thereby improving coverage and customer experience.
Auction outcome
Government raises ₹11,300 cr from 5G spectrum auction
The Indian government successfully raised around ₹11,300 crore from the country's second 5G spectrum sale.
The auction concluded on its second day with telecom operators purchasing over ₹11,300 crore worth of radio waves.
This amount represents a mere 12% of the ₹96,238 crore minimum value set by the government for this auction.
Renewal success
Airtel successfully renews spectrum in six key circles
Bharti Airtel was facing renewals for 42MHz of spectrum in six circles including Assam, Bihar, J&K, Orissa, UP East, and West Bengal.
The recent acquisition has enabled Airtel to successfully renew the spectrum that was due to expire in 2024.
Additionally, the company also purchased extra spectrum to strengthen its mid-band holdings across these key regions.
Industry expectations
COAI optimistic about impact of 5G spectrum auction
The Cellular Operators Association of India (COAI) has expressed optimism regarding the impact of the recent 5G spectrum auction on future services.
SP Kochhar, director-general of COAI, stated, "The 5G auctions will catalyze the rapid rollout of 5G services across the country, leading to enhanced coverage and vastly improved connectivity."