IANSJul 24, 2017 22:25:36 IST
The Competition Commission of India (CCI) has given approval for the Vodafone-Idea merger. According to sources, the CCI has sent approval letters to both Idea Cellular and Vodafone India. Vodafone India and Aditya Birla Group-promoted Idea Cellular on March 20 announced their much-awaited amalgamation. Kumar Mangalam Birla, Chairman of the Aditya Birla Group, will be its Chairman.
"Vodafone Group and Idea Cellular announced they have reached an agreement to combine their operations in India (excluding Vodafone's 42 percent stake in Indus Towers) to create India's largest telecom operator," a joint statement by the companies had earlier said. "The combined company would become the leading communications provider in India with almost 400 million customers, 35 percent customer market share and 41 percent revenue market share," it added. The merger will create an entity with over Rs 80,000 crore revenue.
"Vodafone will own 45.1 percent of the combined company after transferring a stake of 4.9 percent to the promoters of Idea and/or their affiliates for Rs 3,874 crore in cash concurrent with the completion of the amalgamation," the statement said. "The promoters of Idea will hold 26 percent of the company and the balance will be held by the public."
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