Bharti Airtel to buy out Telenor India
New Delhi/Mumbai, Feb 23 (IANS) India’s largest telecom service provider Bharti Airtel on Thursday announced that it has inked a definitive agreement to acquire Telenor (India).
According to the telecom major, it has entered into a definitive agreement with Telenor South Asia Investments to acquire Telenor (India) Communications Private Limited. The acquisition is subject to requisite regulatory approvals.
According to the agreement, Airtel will acquire Telenor India’s running operations in seven circles of Andhra Pradesh, Bihar, Maharashtra, Gujarat, Uttar Pradesh (East), Uttar Pradesh (West) and Assam, the telecom giant added.
“The proposed acquisition will include transfer of all of Telenor India’s assets and customers, further augmenting Airtel’s overall customer base and network,” the telecom major said in a statement.
“It will also enable Airtel to further bolster its strong spectrum foot-print in these seven circles, with the addition of 43.4 MHz spectrum in the 1800 MHz band.”
Airtel assured that it will ensure quality services to Telenor India’s customers, while offering them the added benefits of its innovative product portfolio, access to superior voice and data services, mobile banking, VAS (value added services) and domestic/international roaming facilities.
Telenor India’s operations and services would continue as normal until the completion of the transaction.
“On completion, the proposed acquisition will undergo seamless integration, both on the customer as well as the network side, and further strengthen our market position in several key circles,” Gopal Vittal, Managing Director and CEO (India and South Asia), Bharti Airtel was quoted as saying in the statement.
“The customers of Telenor India will now be able to enjoy India’s widest and fastest voice and data network, and a range of Airtel’s world-class products and services.”
Vittal elaborated that acquisition of additional spectrum will further enhance the company’s already solid spectrum portfolio.
“The proposed transaction will also create substantial long term value for our shareholders given the significant synergies,” Vittal added.
The company’s scrip on the BSE gained 4.82 per cent or Rs 17.40 to Rs 378.55 per equity share (11.30 a.m.) during the pre-afternoon trade session from its previous close of Rs 361.15.