Reliance Industries sealed a deal to sell the tower assets of its mobile unit Reliance Jio to Brookfield Infrastructure Partners for INR252 billion ($3.5 billion), a move chairman and MD Mukesh Ambani said highlighted the potential of the Indian market.

The companies today (16 December) entered into a binding agreement for Brookfield Infrastructure Partners and its institutional investors to acquire 100 per cent of the equity in Reliance Jio lnfratel, which operates about 130,000 towers and plans to build an additional 45,000.

Reliance Jio, the largest mobile operator in India by subscribers, is the anchor tenant of the tower portfolio under a 30-year agreement.

In a statement, Ambani said: “We are pleased to enter into this long and strategic relationship with Brookfield. We are confident of Brookfield’s abilities to manage this large portfolio of high-quality infrastructure assets and further enhancing value creation opportunities.”

“This transaction demonstrates the belief of global investors in the potential of India’s digital opportunity.”

The company said the transaction is subject to certain regulatory approvals, which are expected soon.