Providence Equity to invest USD640m in Idea Cellular

23 May 2008

Providence Equity Partners will invest USD640 million in a unit of Idea Cellular, the Indian telecoms group, in one of the country’s biggest private equity deals. Providence’s investment in Aditya Birla Telecom (ABTL), a subsidiary of Idea Cellular, will fund the group’s mobile network expansion in Bihar, a poor but populous state in eastern India with low phone penetration. ABTL owns the licence for Bihar and will also hold a 16% stake in Indus Towers, which is focused on building mobile phone towers and infrastructure.

India, Vi (Vodafone Idea Limited, VIL)