|
| Bharti-MTN deal outside DoT's purview, says Raja |
| Press Trust Of India / New Delhi Sep 23, 2009, 00:19 IST |
|
Telecom Minister A Raja today said his ministry cannot take a call on the proposed deal between Bharti and MTN, but made it clear that if the transaction needs a change in licence conditions, then telecom regulator Trai would be consulted.
“The entire (Bharti-MTN) deal is not in the domain of our ministry. The matter is being dealt by the finance ministry,” he told reporters here.
Asked if dual listing (in case it is allowed by India) would require any changes in the licence conditions, he said, “Changing the licence condition is always within the domain of Trai. If necessary it will be referred to Trai.” The question of supporting the deal doesn’t come right now, Raja added.
A group of officials from the National Treasury and the South African Reserve Bank (SARB) are in India to meet officials from the finance ministry, Reserve Bank of India and market regulator Sebi to discuss regulatory matters related to the deal.
South Africa has said it is working closely with India on the proposed deal between telecom companies India’s MTN and South Africa’s Bharti Airtel that require exemptions on a range of exchange-control regulations.
Under the arrangement, Sunil Mittal-promoted Bharti Airtel is to acquire a 49 per cent economic interest in MTN. In return, MTN will acquire a 25 per cent economic interest in Bharti Airtel for $2.9 billion and MTN shareholders will acquire another 11 per cent.
The 15-year-old MTN is South Africa’s largest telecom company with over 103 million subscribers, while Bharti has 107 million subscribers.
The shareholding of the South African company is widely held with the Mikati family of Lebanon controlling over 10.18 per cent, employee-controlled NewShelf 664 with 14.87 per cent and the government-controlled Public Investment Corporation holding around 21 per cent.
|
|
|
|
|
|
|
|
|
|
 Read Business news in |  |
|
|
|
|
|
|
Advertisements |
|
|
|
|
|
|
|
|
|
|
Content Guide
