wordpress blog stats
Connect with us

Hi, what are you looking for?

Unitech To Demerge Telecom & Other Businesses

The board of real estate developer Unitech has approved the demerger of its “non-core” operations into a separate entity called Unitech Infra Ltd, which will house its amusement parks and hotels business, construction business, and investments in telecom, transmission towers, hotels, amusement parks, special economic zones, IT parks, logistics parks, industrial parks, property management operations, township management operations. A share swap ratio of 1:1 has been approved, with shareholders of Unitech Ltd getting an equivalent number of shares of face value Rs. 2 each of of Unitech Infra Ltd.

The company operates telecom services in India under the brand Uninor. Norwegian telecom operator Telenor owns 67.25 percent in Uninor, while Unitech owns the rest. Unitech has also announced that it subsequently intends to hive off its telecom investments to a wholly owned subsidiary of Unitech Infra Ltd.

Uninor operates in seven circles – Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Orissa, Bihar, Uttar Pradesh (East), Uttar Pradesh (West) – and at the end of March 31st 2010, had 4,264,036 subscribers. It launched operations only in December 2009.

For the year 2009, Uninor registered EBITDA losses of NOK 906 million. For 2010, the company expects EBITDA losses to be higher at NOK 4.5-5 billion and capital expenditure in Uninor to reduce to NOK 2.5-3.5 billion. Uninor is targeting EBITDA break-even within 3 years and Operating Cash Flow break-even within 5 years of launch of operations and a market share of 8% by 2018.

Related:
Uninor Registers Lowered EBITDA Losses, Final Tranch Of Rs. 2.2B Complete
Live: Uninor Launches In 7 Circles; Price War @Rs. 0.29

You May Also Like

News

A Group of Ministers has advised against the BSNL–MTNL merger, Business Standard reported. This essentially ends any prospect of the merger between the two...

News

The Competition Commission of India on Friday said that Content Delivery Networks (CDNs) such as Akamai and Amazon Web Services should be monitored for...

News

Key takeaways Jio lost millions of subscribers due to a Reliance boycott that was part of the farmer protests; the company ended up adding...

News

The Ministry of Information & Broadcasting’s upcoming National Broadcast Policy will try to make it easier for cable television (TV) operators to provide broadband...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2018 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to Daily Newsletter

    © 2008-2018 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ