Bharti arms merged

Bharti Tele-Ventures has merged its three companies""Bharti Telesonic, Bharti Broadband Networks Ltd and Bharti Telenet""into Bharti Infotel Ltd. The operations handled by the three companies will now be strategic business units under Bharti Infotel.

The merger will allow Bharti to show consolidated revenues apart from achieving operational efficiency.

As per results for July-September 2003, the company's fixed-line business contributed Rs 192.1 crore, while the long-distance and broadband segments accounted for Rs 327.7 crore. Following the merger, Bharti Infotel will show revenues of Rs 519.8 crore.

Singapore Telecom, which held a 10 per cent stake in Bharti Telesonic, has moved out of the long-distance business. It has been given a stake in holding company Bharti Tele-Ventures.

The new company, Bharti Infotel, will be a 100 per cent subsidiary of Bharti Tele-Ventures. Currently, Bharti Telenet Ltd is the service provider for the company's fixed-line business, while Bharti Telesonic provides long-distance services under the IndiaOne brand.

Bharti Broadband Networks Ltd is the service provider for broadband, Internet and V-Sat solutions. The current chief executive officers of the three companies will be the division heads.

The restructuring of the businesses will include reallocation of product or business stream realignments within the company, with the strategic business units better placed to meet customer requirements.

The long-distance retail products, including the India One calling card, will move to the broadband division.