Uncertainties cloud Tata group, Bharti Airtel alliance, says report

Amid reports of a mega alliance between Tata group and Bharti Airtel involving their telecom, overseas cable, enterprise services and DTH businesses, there are a lot of issues that may have to be addressed.

According to a report by Bank of America Merrill Lynch, uncertainties remain on a host of issues. First, will Bharti take on Tata’s $4.5-billion debt? 

Second, what will happen to government’s 26 per cent stake in Tata Communications? Lastly, delisting of Tata Communications.

The report said Bharti would have a market share of 40 per cent in the cellular space if the deal went through.  

“We know that historically