KKR, pension fund CPPIB eyeing exit from Indus Towers

US private equity major KKR and top pension fund Canadian Pension Plan Investment Board (CPPIB) are currently exploring options to exit India’s largest telecom infrastructure firm Indus Towers (formerly called Bharti Infratel), multiple industry sources with knowledge of the matter told Moneycontrol.

“Both these players have been invested for a few years now and are keen to sell their existing stakes in Indus Towers via the block deal route. They are looking for a suitable opportunity,” one of the persons cited above told Moneycontrol without elaborating on the deal timelines and structure.

CPPIB currently holds a 2.15 percent stake while KKR holds a 4.85 percent stake in the firm. Based on the market cap of Indus Towers at the end of day's trade on July 8, the combined 7 percent stake is worth Rs 3,952 crore. The promoter category which includes the Bharti Group and The Vodafone Group holds a 67.49 percent stake.

In 2017, Bharti Airtel sold a 10.3 percent stake in Bharti Infratel to a consortium of investors including CPPIB and KKR. Funds managed by KKR had also previously invested in Bharti Infratel between 2008 and 2015.