Ericsson to exit from Birla Ericsson Optical JV

Swedish telecom gear maker Ericsson is exiting optical fibre joint venture Birla Ericsson Optical by selling its entire stake to two other promoter group entities.
Ericsson Network Technologies (ENT), a subsidiary of Ericsson, is selling its 27.5 per cent shareholding in Birla Ericsson Optical to Universal Cables Limited and Vindhya Telelinks Limited.
In a filing to the BSE, Birla Ericsson Optical said, "Universal Cables Limited (UCL) and Vindhya Telelinks Limited (VTL) have intimated the company that they have executed a Share Purchase Agreement (SPA) with Ericsson Network Technologies (ENT), AB for the acquisition of entire shareholding of ENT in the company."

ENT will sell its 82,50,000 fully paid up equity shares of Rs 10 each, comprising 27.5 per cent of total shareholding of the Birla Ericsson, to Indian partners in the firm.
UCL and VTL held 13 and 13.33 per cent stake in the company respectively at the end of March 2016.
"After such transfer, ENT shall cease to be a Promoter/ Shareholder/Technical Collaborator of the company," Birla Ericsson said.
Shares of Birla Ericsson closed 4.89 per cent higher at Rs 39.7 apiece on BSE today.