wordpress blog stats
Connect with us

Hi, what are you looking for?

Airtel-Telenor merger completed days after SC order on bank guarantees

Airtel has announced the completion of its acquisition of Telenor, as the deal now has all regulatory and statutory approvals. The announcement comes less than a week after the Supreme Court directed the Department of Telecommunications to approve the buyout without demanding bank guarantees.

Now, Airtel will take over Telenor India’s operation in seven circles—Andhra Pradesh, Bihar, Maharashtra, Gujarat, UP (East), UP (West) and Assam. All of Telenor’s existing customers in India (estimated to be nearly 44 million) will also be handed over to Airtel, taking its customer count up to 330 million.

In a press release, Airtel claims that Telenor customers can continue using the same SIM card, number, and previous packs and benefits.

Airtel also gets Telenor’s spectrum, adding 5 MHz to 7.2 MHz from the 1800 band in each of the seven circles. An additional 43.4 MHz of spectrum, Airtel said, will enable it to expand network capacity across these markets and fortify its network leadership.

Apart from getting Telenor’s assets, Airtel will take over all outstanding spectrum payments and other operational contracts, including tower lease contracts as due on Telenor in this no-cash deal.

Advertisement. Scroll to continue reading.

Trouble with approvals

The deal, which was announced in February 2017, has taken over a year to be approved. Its last clearance came just days ago. A big hurdle has been the DoT’s demand for bank guarantees of around Rs 1,700 crore as a condition to approving the merger. The required guarantee included Rs 1,499 crore as one-time spectrum charge for the radio waves that Airtel would get without auction and Rs 200 crore as spectrum payment which is due on part of Telenor.

Airtel had challenged the same in the Telecom Disputes Settlement & Appellate Tribunal (TDSAT), which ordered approval without guarantees. The issue was then taken to the Supreme Court on May 3, and in its decision on May 10, the apex court also dismissed DoT’s petition.

The merger already had approval from the National Company Law Tribunal (NCLT), given on March 8. The Competition Commission of India (CCI), market regulator Sebi and stock exchanges BSE and NSE had also given their nods to the deal.

Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.



The DSCI's guidelines are patient-centric and act as a data privacy roadmap for healthcare service providers.


In this excerpt from the book, the authors focus on personal data and autocracies. One in particular – Russia.  Autocracies always prioritize information control...


By Jai Vipra, Senior Resident Fellow at Vidhi Centre for Legal Policy The use of new technology, including facial recognition technology (FRT) by police...


By Stella Joseph, Prakhil Mishra, and Yash Desai The Government of India circulated proposed amendments to the Consumer Protection (E-Commerce) Rules, 2020 (“E-Commerce Rules”) which...


By Rahul Rai and Shruti Aji Murali A little less than a year since their release, the Consumer Protection (E-commerce) Rules, 2020 is being amended....

You May Also Like


Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...


By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...


135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...


Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

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

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Your email address:*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ