The Japanese behemoth had announced intent to acquire a stake in Tata Teleservices in November. It has now been given approval to buy 27.31 percent stake for Rs 129.24 crore in Tata Teleservices, the government has announced.
The CCEA’s approval of DoCoMo’s revised offer price of Rs 949.07 crore for 20.25 percent of unit Tata Teleservices Maharashtra Ltd. As we had mentioned earlier, SEBI had instructed DoCoMo to increase its offer price for Tata Teleservices Maharashtra to be in line with Tata Teleservices’ valuation. Tata Teleservices Maharashtra will be converted into an operating-cum-holding company, which will ease foreign investment flow into the CDMA cellular operator.
GSM Or CDMA?
Much like Reliance Communications, Tata Teleservices has been eying the GSM space. At the same time, NTT DoCoMo is a key CDMA player. We’re wondering if there’s a possibility that NTT DoCoMo will take the stake in the CDMA operations, and Tata Teleservices will launch GSM operations and raise money for that separately.
To Invest 35 Crore In Gujarat
The company is bullish about Gujarat, and has announced it will invest Rs 35 crore in the state to set up 100 cell sites by August 2009, Business Standard reports. This is an additional investment on the Rs 125 crore it announced for the state earlier. Tata Tele has also partnered withVAS provider Impetus Technologies to launch services for rural subscribers, such as the Mandi Bhav, which will bring prices of 200 commodities from 3,000 exchanges in the country, including over 300 in Gujarat to the mobile phone.
New VP, Marcom
Tata Teleservices has hired Trivikram Thakore as vice president, marketing communication. Trivikram has worked at Motorola, Pepsi Foods, Tropicana and Tata Tea and will report to Lloyd Mathias, chief marketing officer, Tata Teleservices.