While rival operator Vodafone Idea is still having a tough time, Bharti Airtel appears to have had a fairly good week, at least in financial terms, with the confirmation of a spectrum sale to the third major Indian operator Reliance Jio Infocomm.
In fact it was on Friday that Bharti Airtel announced the closure of its spectrum trading agreement with Jio. As a result the right to use Airtel’s 800MHz spectrum in three circles (administrative sub-districts) will go to Jio and a hefty payment will go to Bharti.
In fact Airtel said that the company has received 1,004.8 crore net of tax (approximately $135.5 million) from Jio for the proposed transfer. In addition, according to Indian business website Mint, Jio will assume future liabilities of about $63.3 million relating to the spectrum.
The spectrum trading agreement with Reliance Jio was announced in April. Mint says the areas involved are Andhra Pradesh (3.75MHz), Delhi (1.25MHz) and Mumbai (2.50MHz).
Airtel's parent company Bharti Enterprises also finished the week on a high when South Korean manufacturing and technology company Hanwha joined low-earth orbit (LEO) satellite initiative OneWeb’s ownership consortium with a $300 million investment for an eight percent share in the company.
This investment brings OneWeb’s total equity investment since November 2020 to $2.7 billion. Investors in the LEO broadband constellation now include Hanwha, Eutelsat, SoftBank, Hughes Network Systems and of course Bharti Enterprises.