Vodafone lenders approve Indus Towers, Bharti Infratel merger deal

Lenders to Vodafone Group Plc. have approved the merger of Indus Towers Ltd and Bharti Infratel Ltd, the UK-based company said on Monday.

The agreement to proceed on the deal has been given on the condition of a consent for a security package for the merged entity from Vodafone’s existing lenders, it said. The consent was sought on the €1.3 billion loan used to fund Vodafone’s contribution to the Indian arm Vodafone Idea Ltd’s rights issue in 2019.

Vodafone’s stake in Indus Towers will reduce from 42% to 28.2% with the merger. Bharti Infratel, which also held a 42% stake, will now own 68.6%. Indus Towers was a three-way joint venture among Bharti Infratel, Vodafone Group and Vodafone Idea.