Airtel MTN deal comes through | Reuters
zyakaira notes: While leading media analysts were continuing discussion on the various touchy edges of the deal, Bharti and MTN finalised the first phase of the deal yesterday, avoiding control issues and closing well before the deadline. Airtel upped the offer to $14 billion for MTN for 49% while MTN is now likely to acquire 33% of Airtel for $10 billion. The MTN take includes added cash in return for lesser discussions on control issues. Being adequately funded the cash rich Airtel still walks away with a great deal combining Singtl, Airtel and the kingdom of South Africa
As Prahalad Santigram of Stanchart mentions, Telecoms remain a hot bed of M&A activity making sure India continues to figure at the top in the Deal tables in 2009 and 10
Indian mobile-phone company Bharti Airtel (BRTI.BO) and South Africa’s MTN (MTNJ.J) have reached a preliminary agreement for their planned $24 billion share and cash swap, Bloomberg reported on Wednesday.
Bharti sweetened its bid to buy 49 percent of MTN by increasing the cash portion of its offer, Bloomberg said, citing three people familiar with the situation.
“MTN doesn’t comment on market speculation,” said MTN spokeswoman Marina Bidoli, adding that the two companies are still in talks until the end of the month.
An earlier tie-up collapsed over sensitivities over who would control what and the new deal — in which both companies will hold a large stake in each other’s businesses — seems carefully crafted to avoid a repeat.
Bharti is the leading partner in the deal. It will consolidate MTN’s business and hold 49 percent in its South-African rival. But MTN will likewise hold 36 percent in Bharti Airtel once the deal completes (This precentage was revised?)
Related Websites - Forex Is The Largest, International Stock Exchange Of Currency Every individual trader, made the decision to start his move...
- Creating a Sports Card Collection Since the 1800s, it has been a normal part of...
- TARP 2009: Where Are They Now? Part II Yesterday, I talked about the people that made TARP happen,...
- Face-Detection Cameras: Users' Racism Charges Explained [/caption] Reprinted from Time Magazine When Joz Wang and her...
- The Most Area To Invest Your Money Investment decision is vital in an effort to make your...
