New Delhi, Jan 23: Norwegian entity Telenor has
further delayed the closing of its deal with Unitech Wireless, the telecom arm of realty major Unitech and now expects the transaction to be completed in the first quarter of 2009.
In October last year, Unitech had said the company would
sell 60 percent stake in its telecom venture Unitech Wireless
for about Rs 6,120 crore to Telenor.
"Telenor has earlier communicated that closing of the
Unitech Wireless transaction in India would take place during
January. Completion of the transaction is now expected to take
place during the first quarter of 2009," the Norwegian firm
said in a statement today.
Analysts say the delay in closing the deal by Telenor
could be a result of difficulties faced by the Norwegian firm
in arranging Rs 6,120 crore.
In November 2008, Telenor had said it would evaluate
alternative ways of funding the investment, including the
previously announced rights issue.
"As part of this process, Telenor has appointed Deutsche
Bank as an independent financial adviser," the firm had then
said in a statement.
Further, Telenor in today`s statement noted that it
remains confident that "all conditions will be met within the
indicated time frame, including agreements for infrastructure
sharing that will allow a swift and cost-efficient rollout".
Pointing out that closing of the transaction is subject
to certain conditions being fulfilled, Telenor today said it
now anticipates the deal to close in the first quarter of this
year.
Unitech Wireless has pan-India telecom licences in all 22
circles and plan to launch its services in first half of 2009.
The company was awarded pan-India mobile telecom licence for
Rs 1,651 crore early this year and has got GSM spectrum in 13
circles.
Bureau Report
