Tuesday, December 16, 2008

MTN intends to renew stake sale deal with RCom

Reliance Communications and MTN deal, which knocked the headlines in July, and subsequently collapsed due to Ambani’s bitter dispute, may soon be renewed.

Says Wireless Federation - A Wireless Industry Research Conglomerate - quoting media reports that the story has a twist this time, as the roles are reversed.

Earlier, Rcom was seeking at a reverse merger to buy MTN, this time the offer is for a straight deal with MTN buying a minority stake in RCom. Rcom is seeking to raise $2 billion by offloading around 26% stake in the company, which will be a mix of non-promoter stake and fresh issue.

AT&T which plans to re-enter the Indian Telecom Market is also chasing, since it is not interested in investing in Unitech. The company’s move to sell stake to a strategic partner comes after talks with a host of private equity players did not make any headway.

No comments:

Post a Comment