Bharti Airtel on Wednesday said it has paid ₹8,312.4 crore to the Department of Telecommunications (DoT) towards dues for spectrum acquired in the recently concluded 5G auctions.
This upfront payment coupled with the moratorium on spectrum dues and adjusted gross revenue (AGR) related payments for four years will free up future cash flows and help dedicate resources to single-mindedly concentrate on the 5G rollout, the company said in a statement.
Over the last year, Airtel has also cleared ₹24,333.7 crore of its deferred spectrum liabilities much ahead of scheduled maturities.
‘Bringing world-class 5G experience’
"This upfront payment of four years allows us to drive 5G rollout in a concerted manner given our operating free cash flow. Airtel also has access to ₹15,740.5 crore in capital from the rights issue which is yet to be called. With the ideal spectrum bank, best technology, and adequate free cash flow, we are excited to bring to the country a world-class 5G experience," Gopal Vittal, Managing Director and Chief Executive Officer, Airtel said.
The Sunil Mittal-owned company bought spectrum worth ₹43,084 crore, secured for 20 years. The company acquired 19,867.8 MHz spectrum in 900 MHz, 1800 MHz, 2100MHz, 3300 MHz, and 26 GHz frequency bands through the auction. These bands are ideal spectrum banks for the best 5G experience, and 100x capacity enhancement, the company said.