Promoters of Shyam group and IT systems integration company, Spanco Telesystems announced the formation of a new Joint Venture named Citycom Networks to acquire Spectranet, the ISP business of Punj Llyod.

The JV aims to create next generation wireless and wireline telecom infrastructure so as to address the infrastructure needs of telecom operators and ISP. The first phase of expansion will involve infusion of Rs.500 crore fund and will result in expanding Spectranet presence from the current 3 cities to 10 which will include cities such as Chennai, Jaipur, Chandigarh, Ahmedabad, Kolkata, Pune and Hyederabad.

Kapil Puri, Chairman, Spanco Telesystems said, “This joint venture to acquire Spectranet aligns with the business model and expansion plans of our company. This will mark Spanco’s entry into telecom networks operations, thus presenting an opportunity to leverage the current mobile telecom & broadband boom.”

“We see next-generation wireline, broadband and wireless networks playing a key role in the changing socio-economic structure of the India. This acquisition is our endeavour to propel and lead this transformation in India,” said Mr.Udit Mehrotra, Director, Citycom Networks.