New Delhi-based transmission utility PowerGrid Corporation of India (PGCIL) is considering leasing out more than three-quarters of its towers to telecom companies, according to an Economic Times report.
The potential move, which could allow PGCIL to…
New Delhi-based transmission utility PowerGrid Corporation of India (PGCIL) is considering leasing out more than three-quarters of its towers to telecom companies, according to an Economic Times report.
The potential move, which could allow PGCIL to become one of the main telecom tower companies in India, is based on a report written by Booz & Co, explains the Economic Times of India.
The consultancy firm was appointed to evaluate the company’s diversification plan. PricewaterhouseCoopers (PwC) was also appointed in order to prepare the details of the financial feasibility and draft agreement needed to enter into negotiations with telecom companies, read the report.
According to the Economic Times, the chairman and managing director of PGCIL said that the company is looking to venture into non-regulated businesses without injecting fresh capital.
According to its website, PowerGrid distributes almost half of the total power generated in India on its transmission network. A few years, it chose to diversify into the telecom sector and established a telecom network of more than 20,000 km across the country.
PGCIL, Booz & Co and PwC were not available to comment on the report.
