Bombay High Court admits RCOM-SSTL merger scheme

Anil Ambani-owned Reliance Communications (RCom) said that the Bombay High Court has admitted the application for its merger with Sistema Shyam Teleservices Ltd. (SSTL), the telecom unit of Russia’s Sistema JSFC.

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“The Bombay High Court has admitted the application for Scheme of Arrangement between RCOM and SSTL. The Hon’ble Bombay High Court has directed RCOM to convene a Court-Convened Meeting of Reliance Communications’ shareholders on Tuesday, 8 March 2016 at 11 am at REMI,” the company said in a statement.

RN Bhardwaj, Director of Reliance Communications, has been appointed as Chairman of the said meeting. RCom is, therefore, finalizing a notice of the above meeting to be sent to its shareholders and taking necessary action in the matter, the statement said.

The company earlier announced plans to merge SSTL with itself with the latter’s shareholders getting a 10% stake in the combined entity. RCom had already received a nod from the stock exchanges to acquire SSTL in January this year.

The company had recently entered into merger talks to acquire domestic wireless business of Aircel, which is the country’s fifth largest mobile carrier with pan-India operations. RCom had then said that the discussions were “non-binding” in nature, and will exclude RCom’s towers and optical fibre infrastructure.

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7 Comments on "Bombay High Court admits RCOM-SSTL merger scheme"

 

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arun
February 8, 2016 9:32 am 9:32 AM

If all RCOM SSTL and Aircel merger happens then there will be 6 box giants in the indian market.
Airtel Vodafone Idea RJIO RCOM and BSNL

Rest Telenor Videocon wil get merged with others

Avengers
February 8, 2016 1:32 pm 1:32 PM

Already many people are under confusion like what is RCOM & RJIO. Many feel that RJIO is nothing but RCOM’s 4G services. So with the same name Reliance it become tougher for the customers in India so Ambani brothers would have already planned for something and as U know RJIO just cant sustain all alone on 4G network so they will merge it and make it as one for sure.

Avengers
February 8, 2016 1:29 pm 1:29 PM

I feel that RCOM will not be in the market for a long time after RJIO comes. Either it will merge its operations with RJIO or entire sell their business to RJIO and step aside from the telecom business.

Sutripta Roy
February 8, 2016 11:46 am 11:46 AM

And What about TATA?

Amit Kr. Das
February 8, 2016 3:41 pm 3:41 PM

Telenor is acquiring Tata. Thus Telenor is going to enter in those circles where it is currently not present. For example: Kolkata, Rest of Bengal etc.

Krish
February 8, 2016 9:56 pm 9:56 PM

How do u knw that??

Krishh
February 9, 2016 12:22 pm 12:22 PM

Only rumors

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