Thu, Feb 23, 2017 | updated 05:10 PM IST

Reliance Communications-Aircel merger deal sealed

Updated: Sep 14, 2016 19:22 IST

New Delhi [India], Sept. 14 (ANI): India's leading fully-integrated nationwide telecommunications service provider Reliance Communications and Maxis Communications Berhad, the promoters of Aircel Limited, today announced the signing of definitive documents for the merger of their Indian wireless businesses - the largest-ever consolidation in the Indian telecom sector.

The RCOM-Aircel combination will create a strong operator clearly ranked amongst India's top four telcos by customer base and revenues, also ranking amongst the top three operators by revenues in 12 important circles.

Both companies will hold 50 percent stake each in the combined entity and will transfer debt worth Rs. 14,000 crore each.

The entity will be listed at a later date. The combined entity will also have net worth of Rs. 35,000 crore and debt of Rs. 28,000 crore.

In terms of subscribers, a Rel Comm-Aircel combine will be the country's second largest telecoms player, with 19 crore users.

Airtel (25 crore), Vodafone (19.8 crore) and Idea (17.5 crore) will comprise the top four players.

However, in revenue market share, the combined business will trail Idea with 10 percent share compared with Idea's 20.1 percent. Airtel and Vodafone will have revenue market share of 31.6 percent and 22.6 percent.

"Together with our partners, MCB, we are delighted to have taken the lead in consolidation of the Indian telecom sector, first, with RCOM's acquisition of the wireless business of SSTL, and now, with the combination of our business with Aircel Ltd. in a 50:50 Joint Venture with MCB," said Chairman Reliance Group, Anil D. Ambani.

"We expect this combination to create substantial long term value for shareholders of both, RCOM and MCB, given the benefits of the wide-ranging spectrum portfolio and significant revenue and cost synergies," added Anil.

"This deal further reinforces MCB's commitment to India. Since acquiring Aircel in 2006, MCB has invested in excess of Rs. 35,000 crore (USD 5.2 billion) into Aircel, making this one of the largest foreign investments into India, not only in the telecom industry but across all sectors. The magnitude of this investment, and the further equity commitment in support of this deal, are underpinned by MCB's belief in the long term growth potential of both India and the Indian telecom sector," said Maxis Communications Berhad. (ANI)

  • Tags

New Delhi [India], Feb 23 (ANI-NewsVoir): WittyFeed, world's second largest and India's largest viral content company has also emerged as 20th most visited websites in India surpassing the most major social networking sites Twitter and Instagram being the fastest and youngest company to attain this ranking. The latest Alexa ranking as on 22nd February shows as the 20th most visited website in India. This is an enormous achievement for the viral content website from tier II cities in India called Indore.

Full Story >>

New Delhi [India], Feb 23 (ANI): Mobile wallet major MobiKwik on Thursday announced an investment of Rs. 300 crore for expansion aimed at growing its user base from current 50 million to 150 million in 2017.

Full Story >>

New Delhi [India], Feb.23 (ANI): White Page International recently released the research and jury based listing of India's Most Admired Brands and Leaders 2016-17 with PwC as Process Reviewers.

Full Story >>

New Delhi [India], Feb 23 (ANI-NewsVoir): Ministry of Skill Development & Entrepreneurship (MSDE) and the Wadhwani Operating Foundation (WOF) announced a partnership aimed to empower Government of India's Pradhan Mantri Yuva Udyamita Vikas Abhiyaan on entrepreneurship.

Full Story >>

New Delhi [India], Feb 23 (ANI): Enforcement Directorate on Thursday attached an amount of Rs.1,02,16,000 in case of Kishore Bhajiawala involved in post demonetization frauds.

Full Story >>

New Delhi [India], Feb 23 (ANI): The Reserve Bank of India (RBI) on Thursday announced that it has imposed a monetary penalty of Rs. one lakh (rupees one lakh only) on Sahebrao Deshmukh Co-operative Bank and Rs. four lakh (rupees four lakh only) on Progressive Co-operative Bank Ltd in Mumbai.

Full Story >>

Mumbai [India], Feb.23 (ANI-Businesswire India): The oil palm division of Ruchi Soya Industries Limited at Lunglei in Mizoram recently conducted digital banking awareness seminars to familiarise the farmers with transacting in a cashless economy.

Full Story >>

New Delhi [India], Feb 23 (ANI-BusinessWireIndia): L&T Technology Services Limited (NSE: LTTS), a leading global pure-play engineering R&D services company, and UTC Climate, Controls and Security and Otis, units of United Technologies Corp., today announced a strategic collaboration to create an innovation laboratory focused on integrated buildings, smart homes and cold chain technologies. The lab will be located at LTTS' Bengaluru campus, with support from the UTC business units.

Full Story >>

New Delhi [India], Feb 23 (ANI-BusinessWireIndia): Prudent Corporate, one of India's leading platform providers, has crossed Rs. 10,000 crore mark in its assets under management (AUM) on 31st Jan 2017. Prudent attribute this growth to its partners, clients and team Prudent and would like to thank them for being a part of this wonderful journey.

Full Story >>

New Delhi [India], Feb 23 (ANI): The Trade Facilitation Agreement (TFA), the first multilateral agreement in the WTO's 21-year history, ratified by two third members of WTO to become a reality.

Full Story >>

New Delhi [India], Feb 23 (ANI): Mylescars, a robust and cost-effective car sharing and self-driving solution, today announced the successful start to its flagship program the Myles Angels program.

Full Story >>

New Delhi [India], Feb 23 (ANI): Global leader in network and endpoint security Sophos has announced appointment of Shamshad Ahmed as director sales for its end-user security group (ESG) business for India and SAARC.

Full Story >>

New Delhi [India], Feb 23 (ANI): India's largest telecommunications services provider Bharti Airtel on Thursday announced that it has entered into a definitive agreement with Telenor South Asia Investments to acquire Telenor (India) Communications.

Full Story >>

New Delhi [India], Feb 23 (ANI-NewsVoir): An abstract of an ongoing study, "Fresh pear (Pyruscommunis) consumption may improve blood pressure in middle-aged men and women with metabolic syndrome," presented at Experimental Biology in San Diego indicates regular fresh pear consumption may improve blood pressure and vascular function in middle-aged men and women with metabolic syndrome (MetS.) MetS, a cluster of major cardiovascular risk factors highly associated with the development of chronic disease such as cardiovascular disease and type II diabetes, affects more than one in three U.S. adults.

Full Story >>

New Delhi [India], Feb 23 (ANI-NewsVoir): Mumbai based Entrepreneur Suresh Khairwar lead International Risk Consultants Insurance Brokers Pvt. Ltd. (IRC) rewrites the history of Indian Insurance industry by introducing Specialized Industrial Insurance to the Indian clients who are aligned to do business with best global practices.

Full Story >>

New Delhi [India], Feb.22 (ANI): The State Bank of India (SBI) on Wednesday said that it had taken cognisance of media reports that the ATM of one of its branches in the Sangam Vihar area of Delhi had allegedly dispensed some fake Rs.2000/- notes on February 6, 2017.

Full Story >>

Washington D.C. [United States], Feb 22 (ANI): The International Monetary Fund (IMF) has said that India's projected growth will be around 6.6 per cent in fiscal 2016-17 due to what it called "temporary disruptions" caused by demonetisation.

Full Story >>

Bengaluru (Karnataka) [India], Feb.22 (ANI): Ola, India's most popular mobile app for transportation, has entered into a first of its kind partnership with Bangalore Metro Rail Corporation Limited.

Full Story >>

New Delhi [India], Feb.22 (ANI): Samsung India's popular television and digital campaign showcasing its initiative of taking customer service to the doorsteps of consumers in the hinterlands has crossed 100 million views on YouTube in just seven weeks of its launch.

Full Story >>