TDSAT Asks DoT to Approve Airtel-Telenor Merger Without any Bank Guarantee

The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has now asked the Department of Telecom (DoT) to approve the Bharti Airtel and Telenor India merger without any bank guarantee, as per a new report from PTI. The DoT, earlier this month asked the leading telecom operator Bharti Airtel to submit the bank guarantee of around Rs 1,700 crore so that it can approve the proposed merger with Norway-based Telenor. The asked bank guarantee includes Rs 1,499 crore for one-time spectrum charge for the radiowaves allocated to Airtel without any auction and more than Rs 200 crore is the spectrum payments which Telenor is yet to make.

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“Regarding the demand for bank guarantee, on Airtel’s petition, TDSAT has yesterday directed the DoT to take the merger on record without the need to furnish a bank guarantee. We hope to get the final approval from the DoT soon,” Bharti spokesperson said to the publication.

Furthermore, the DoT has also asked for an undertaking from Airtel on which the telco will be including that it will be “liable to any pending dues with respect to the merger of the two companies and all demands which may be raised by any wing of the department for Telenor India.”

“A letter of compliance has already been submitted to the DoT on all the mentioned points,” the spokesperson further added.

Earlier last year, Telenor India announced a merger with Bharti Airtel, which will boost Airtel’ subscriber base along with the 4G spectrum footprint. Post the merger, Airtel’s footprint in seven circles (Andhra Pradesh, Bihar, Maharashtra, Gujarat, UP (East), UP (West) and Assam) will be boosted with the addition of 43.4 MHz spectrum in the 1800 MHz band.

The National Company Law Tribunal (NCLT) already approved the proposed merger of Airtel and Telenor India on March 8. DoT has also directed Airtel to reduce its market share in Bihar telecom circle on the basis of money earned from telecom services (Adjusted Gross Revenue). DoT asked Airtel to reduce the limit to 50% within one year post the merger approval.

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9 Comments on "TDSAT Asks DoT to Approve Airtel-Telenor Merger Without any Bank Guarantee"

 

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xyz
April 13, 2018 11:31 am 11:31 AM
VODAFONE IDEA MERGER AND AIRTEL TELENOR APPROVAL WILL BE GIVEN IN THIS MONTH OR NEXT MONTH. JIO RCOM ASSET SALE APPROVAL MAY BE GIVEN IN THIS QUARTER ITSELF. AIRTEL TATA WILL BE DONE IN Q2 FY2019. AIRCEL WILL TAKE ITS TIME TO SHUT DOWN OFFICIALLY BUT SHOULD BE DONE THIS YEAR ITSELF. This seems good but at the end of the day employees will be sad. BSNL MTNL WILL GO THROUGH ONLY WHEN MTNL BECOME A HEALTHY OPERATOR. JIO WILL BE LAUNCHING FTTH IN Q2 2019. NEXT ONE TO GO UNDER MERGER AND ACQUISTION SHOULD BE MTNL IF GOVERNMENT WON’T… Read more »
Nikhil Mumbai-Pune
April 14, 2018 9:01 am 9:01 AM

BSNL MTNL WILL GO THROUGH ONLY WHEN MTNL BECOME A HEALTHY OPERATOR.

Frankly speaking BSNL+Aircel+MTNL spectrum should go to Idea-Vodafone!!!!!

Nikhil Mumbai-Pune
April 14, 2018 8:59 am 8:59 AM

Only Airtel may stay in profit if merger gets done as early as possible and spectrum gets deployed immediately!!!!! Vodafone-Idea will require two years to match the Jio coverage!!!!!

Bhaskar
April 13, 2018 11:00 am 11:00 AM

What happens to the prepaid balances of telenor, once the merger happens?

Sachin
April 13, 2018 2:04 pm 2:04 PM
Already I am facing issue of wrong billing when connected to Airtel network with telenor number. I had subscribed for a telenor 2g data pack and next day for some reason telenor network was not available and it latched on to Airtel 2g network and when I started using data it reduced my main balance to zero even though I had subscribed for data pack with 1gb data balance remaining. Whats surprising is that it does not display Airtel as connected network in manual search mode, but instead shows two diffrent network as “telenor.in” and “telenor”. one of this is… Read more »
Nikhil Mumbai-Pune
April 14, 2018 9:05 am 9:05 AM

Usual tendencies of Airtel!!!!! Won’t change until they face huge loss!!!!! Looking forward to Vodafone-Idea merger and Jios improved coverage!!!!

dragonmonk
April 13, 2018 12:47 pm 12:47 PM

One gets to keep the balance. No change. Only plans, rate cutters etc will change to AirTel’s.

Vikash
April 13, 2018 11:50 am 11:50 AM

Bro…It would be gone with the wind

xyz
April 13, 2018 11:15 am 11:15 AM

It will work as it is and once merger done you will get dictated new set of tariff plans(the plans of airtel itself) which will be applied further.
You all can get lucrative offers mainly in terms of voice.

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