Reliance Infratel and GTL infrastructure have put on hold plans to combine their tower operations in a deal valued at $11 billion, raising question marks over the debt reduction plans of parent company Reliance Communications (RCOM).
RCOM owns 95% of Reliance Infratel.
The development will affect RCOM’s ability to price its high –end 3G services and added that it expected India’s second largest telecom company by customers to hasten the process to sell a 26% equity to raise money.
In June, both parties had agreed to exclusively discuss terms of merger till August 31.
When these deadlines lapse, they are renewed if talks are on track.
RCOM said it was in talks with other strategic and financial investors for similar transactions to reduce its debt.
Vedanta may be told to reveal more for Cairn Sebi, will direct Vedanta Resources to inform the shareholders of oil explorer Cairn India about the claims of state-owned ONGC on it as well as details of the recent denial of a mining licence to its affiliated company. Vedanta Resources, controlled by London-based billionaire Anil Agarwal, had agreed to buy up to 60% of Scottish firm Cairn Energy Plc’s Indian unit for $9.6 billion. The London-listed company has filed a draft letter of offer with securities market regulator Sebi for approval to buy an additional 20% of Cairn India from its shareholders in keeping with regulatory requirements.
Contd. Vedanta’s open offer letter to Cairn India’s shareholder for acquisition of a further 20% shares had indicated September 7 as the cut-off date.
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Britannia to invest Rs 100 cr in 2 new plants Britannia Industries (BIL) will invest around Rs 100 crore to set up a plant each in Bihar and Orissa to scale up production to cater to the growing market Britannia, with a 31% market share, is lagging behind Parle Industries, which has gained clear volume leadership in the Rs 10,000-crore Indian biscuit market in recent times It had launched brands like Pure Magic and Chocs Decor as competition to chocolates by leveraging festival gift packs, creating a value for the brand.