New Delhi, Apr 22 (PTI) Adani Group firm Adani Data Network will transfer its entire spectrum holding to Bharti Airtel and its subsidiary Bharti Hexacom, both the companies said in separate statements without disclosing financial details.

The development comes at a time when Adani Data Networks was about to lose its entire 400 megahertz spectrum in 26 Gigahertz band as it failed to meet the roll-out obligations within the stipulated time.

“Adani Data Networks Limited (ADNL), a wholly-owned subsidiary of Adani Enterprises Ltd, has signed definitive agreements with Bharti Airtel Ltd and its subsidiary Bharti Hexacom Ltd to transfer the rights to use 400 MHz of spectrum in the 26 GHz band,” Adani Group said in a statement.

Adani Data Networks (ADNL) had acquired the spectrum for about Rs 212 crore through an auction held in 2022.

“Bharti Airtel Limited and its subsidiary Bharti Hexacom Limited have entered into definitive agreements with Adani Data Networks Limited (ADNL), a subsidiary of Adani Enterprises, to acquire rights to use of 400 MHz of spectrum in the 26 GHz band in Gujarat (100 MHz), Mumbai (100 MHz), Andhra Pradesh (50 MHz), Rajasthan (50 MHz), Karnataka (50 MHz) and Tamil Nadu (50 MHz),” Airtel said in a statement.

The auction rules make it mandatory for players acquiring spectrum in 26 Ghz band to launch commercial service anywhere in the telecom circle where it has the radiowaves within 12 months of its allocation.

Adani Data Networks will complete three years of spectrum allocation in August 2025.

An e-mail seeking comments from Adani Group did not elicit any reply.

By the end of the third year, it is mandatory for players holding spectrum in 26 Ghz band to deploy at least 90 sites in each circle where they hold the radiowaves.

The spectrum allocation rule has a provision to impose a penalty of Rs 1 lakh per week for the first 13 weeks if the spectrum holder misses the roll out target. Thereafter, the penalty is increased to Rs 2 Lakh for the next 13 weeks and to Rs 4 Lakh for the next 26 weeks subject to a maximum of Rs 1.40 crore for each phase.

For delay of more than 52 weeks at any phase, in addition to the penalty the spectrum assigned may be withdrawn and the bank guarantee shall be encashed to the extent of the fine, if not paid. PTI PRS HVA