Hong Kong-based private equity fund Distacom, which held a 42 per cent stake in the BK Modi-promoted Spice Telecom, has decided to exit the company. Distacom's 42 per cent stake has been bought by Deutsche Bank, Ashmore Investment and Spice Communications. In the new structure, Spice Communications' stake will rise to 36 per cent from 22 per cent. Spice operates in Karnataka and Punjab and has a total subscriber base of 1.5 million.