DoT seeks additional details on Reliance Jio, Infotel merger

The Department of Telecom has sought more details on the proposed merger of Reliance Jio Infocomm and its long distance services arm Infotel.

Reliance Jio Infocomm Ltd (RJIL) had sought DoT's approval for the merger of Infotel Telecom Ltd (ITL) with itself.

DoT has asked RJIL to provide details about the minimum paid up equity capital as on April 1 for years 2012, 2013 and 2014 and net worth of the company during the same period, a person familiar with the development said. 

This person, who declined to be identifued, added that RJIL was asked to provide the break-up of its Indian and foreign equities.

"RJIL was also directed to clarify that why the matter of second transfer or company Rancore Technologies Private Ltd have not been brought up in their request for proposed merger," the same person said.

Rancore Technologies is also a subsidiary of Reliance Industries (RIL).

RIL had announced that it would launch commercial 4G telecom service of RJIL in 2015, entailing investment of Rs 70,000 crore.

RIL had said that RJIL would initially cover about 5,000 towns and cities accounting for over 90% of urban India, as well as over 215,000 villages in India and that the target is to expand this to over 600,000 villages.