Reliance Communications, Aircel merger talk extended by 60 days

Industrialist Anil Ambani-led Reliance Communications (RCOM) on Wednesday said the talks of its merger with the promoters of Aircel to combine the wireless business of the two companies have been extended by 60 days.

"Reliance Communications today announced that, based on the good progress made so far, it has extended the exclusivity period with Maxis Communications and Sindya Securities and Investments, the shareholders of Aircel, by 60 days to May 22, 2016, to consider the potential combination of the Indian wireless business of RCOM and Aircel and mutually derive the expected substantial benefits of in-country consolidation, including opex and capex synergies and revenue enhancement," a company statement said.

It said the discussions were non-binding in nature.

"Any transaction is subject to completion of due diligence, definitive documentation and regulatory, shareholders' and other third party approvals. Hence, there is no certainty that any transaction will result," the statement added.