Anil Ambani-led Reliance Communications (RCOM) has entered into discussions to combine wireless business with Aircel. The company, in a note, said that it has entered into a 90-day exclusivity period with Maxis Communications Berhad (MCB) and Sindya Securities and Investments Private Limited, the shareholders of Aircel, to consider the potential merger of wireless business of both the telcos.
The potential combination will exclude RCom’s towers and optical fibre infrastructure, for which Rcom is proceeding with an asset sale, as announced on December 4, 2015. The objective of a potential merger would be “to mutually derive the expected substantial benefits of incountry consolidation, including opex and capex synergies and revenue enhancement, the statement read.
RCom said that the discussions are non-binding in nature, and there is no certainty that any transaction will result. “Any transaction will be subject to due diligence, definitive documentation and regulatory, shareholders’ and other third party approvals,” the note said.
A few months back, RCom announced merger with the telecom business of Sistema Teleservices (SSTL).