Bharti Airtel, Dialog Axiata (Dialog), and Axiata Group (Axiata) have successfully completed the share swap transaction of Bharti Airtel Lanka (Airtel Lanka) with Dialog. Upon completion of the transaction, Dialog holds 100 percent shareholding of Airtel Lanka, and Bharti Airtel holds 10.355 percent shareholding of Dialog, Bharti Airtel announced in a statement on Thursday.
Also Read: Bharti Airtel, Dialog Axiata, and Axiata Group to Merge Operations in Sri Lanka
Merger Announcement and Definitive Agreement
Airtel and Dialog Axiata first announced plans to combine operations in Sri Lanka in May 2023. Later, in April 2024, Bharti Airtel announced that the company had signed a definitive agreement with Dialog Axiata and Axiata Group to merge operations in Sri Lanka. Dialog Axiata, a subsidiary of Axiata Group, operates Sri Lanka's Quad-Play Connectivity Service Provider.
Transaction Completion
"In furtherance of our earlier intimations dated May 2, 2023, and April 18, 2024, we wish to inform that Bharti Airtel Limited (Bharti Airtel), Dialog Axiata PLC (Dialog), and Axiata Group Berhad have successfully completed the share swap transaction of Bharti Airtel Lanka (Private) Limited (Airtel Lanka) with Dialog on June 26, 2024," Bharti Airtel said in an exchange filing.
Also Read: Sri Lankan Mobile Operators Commercially Launch Three Open Gateway Network APIs
Synergies
At the time of signing the definitive agreement, Airtel said, "We are happy to merge our Sri Lanka operations with Dialog. Given the scale and unique propositions they offer, we are certain that our customers will continue to enjoy cutting-edge services on a seamless network."
The integration of Dialog and Airtel Lanka operations is expected to enable the merged entity to garner economies of scale, reduce duplication of infrastructure, and achieve synergies in technology and capital expenditure.
