RCom-SSTL merger gets another nod

Sistema Shyam Teleservices, which operates under MTS India brand, Friday received a nod from its shareholders for the planned merger with Anil Ambani-owned Reliance Communications (RCom).

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A PTI report said that the decision was taken during a meeting convened by the Rajasthan High Court in Jaipur. An SSTL spokesperson confirmed the development to the news wire service.

“As per initial indications, members of the company have duly approved the merger process through voting by way of poll at the meeting and through e-voting,” the spokesperson informed PTI. The development follows a similar nod from RCom shareholders. The RCom-SSTL merger deal has already been cleared by the Competition Commission of India and Sebi.

The merger deal now requires clearances from the Rajasthan High Court and the Bombay High Court. Following approvals from these courts, RCom will approach the Department of Telecom for final paperwork, the report said. The deal between RCom and SSTL is valued at around Rs 4,500 crore and is expected to close in the second quarter of 2016.

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10 Comments on "RCom-SSTL merger gets another nod"

 

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jayprakash
March 19, 2016 11:27 am 11:27 AM
yes…i want to know also …..what about cdma services …shutdown ? and release 4g on this frequency…(800mhz) if yes…than we need a 4g phone which is packed with 800mhz band ? and than what about our existing devices like .. unlocked cdma (800mhz) phones and unlocked cdma data cards ?? after all this things we should able to use our old stuff ?? this question is because our old devices have a 800mhz frequency also ….( they change a signal not a frequency ….as per my thought ) so …..any one able to answer this ??
Jyotirmoy Manna
March 20, 2016 1:03 pm 1:03 PM

No we will not be able to use these handsets and dongles.

Lav Singh
March 19, 2016 4:46 pm 4:46 PM

They will migrate MTS users to existing RCOM network and will use MTS existing network for 4G services.

Abhishek
March 19, 2016 7:22 pm 7:22 PM

But mts doesn’t have enough spectrum to use it for 4g and rcom needs all of its 5Mhz for 4g. I guess it’s end of cdma.

Madhan Kumar
March 19, 2016 11:41 pm 11:41 PM

@Abhishek: Lav Singh is wrong,RCDMA users will be moved to MTS where RCOM has liberalised only spectrum only for it’s CDMA SPECTRUM not MTS.RCOM is not a fool to give away the MTS spectrum which has higher Validity,correct me if I am wrong!

Abhishek
March 19, 2016 11:48 pm 11:48 PM

What about circles without mts?

Madhan Kumar
March 20, 2016 12:26 pm 12:26 PM

@Abishek: In NON-MTS circles it is said that RCDMA will shut down but not so sure only time will tell!

Rajnish
March 19, 2016 2:55 pm 2:55 PM

I don’t think that they’ll shutdown cdma services because that is the only good thing about rcom.
Only a part of spectrum would be used for 4G. And cdma network would also be there. Cdma network would most probably be used for fallback.

Only time will tell what happens next.

Abhishek
March 18, 2016 11:38 pm 11:38 PM

What will happen to rcdma after they start 4g?

SENTHILVELAVAN C P
March 19, 2016 10:33 pm 10:33 PM

The frequency used for data is 850 mhz . Can be updated from the 800 MHz CDMA bandwidth after paying necessary fees to govt. Further the RCOM, MTS and Videocon will help JIO by acting as B companies

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