Idea Cellular dips 6% post Q2 numbers, tower sale to ATC Telecom

Shares of Idea Cellular shed 6% on Monday after the telecom major reported a poor set of numbers for the September quarter, and announced sale of tower business to ATC Telecom along with Vodafone India. 

The stock dipped as much as 6% to Rs 91 on the National Stock Exchange (NSE). 

The telecom firm posted its fourth straight quarterly loss on Monday, as it struggled with the aggressive pricing structure brought in by upstart rival Reliance Jio.

Consolidated revenue for the quarter stood at Rs 7,465.50 crore, compared with Rs 8,166.50 crore in June quarter and Rs 9,300.30 crore in the year-ago quarter. 

The company also informed that its board has approved sale of its standalone tower business held by 'not a material subsidiary' Idea Cellular Infrastructure Services (ICISL) to ATC Telecom Infrastructure, a subsidiary of American Tower Corporation. Vodafone India is also going to sell its tower business in India to ATC. The company will get Rs 3,850 crore post completion of deal.