Airtel’s acquisition of zain in africa. 1. Annexure-V- Cover Page for Academic Tasks Course Code: MGT Course Title: Corporate. NEW DELHI/MUMBAI: The board of Kuwait’s Zain Telecom has accepted a $ -billion (Rs 49, crore) offer from Bharti Airtel for the bulk of. Mittal’s firm Bharti Airtel had ventured in Africa market with USD billion (or about Rs 48, crore at that) acquisition of Kuwait-based Zain.
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The Zain deal would also catapult the Indian entity into the league of world’s top 10 telecom players. Voice calls were earlier charged by the afriva. We are looking at more opportunities as we build more roll outs in Africa,” he remarked.
Choose your reason below and click on the Report button. This will alert our moderators to take action. As operators in India have shown, achieving a minimalist cost structure is the best foundation an operator in an emerging market can have.
Zain has operations in 17 African countries and Bharti has acquired all, but those in Sudan and Morocco. He said Zain Africa would now be per cent subsidiary of Bharti Zajn.
The government of Gabon was said to have said in a statement emphasised that the Zain Gabon had not complied with Gabonese telecommunications regulations with regard to the acquisition. The acquisition gives Bharti Airtel a total customer base of million, including million subscribers it had in India at the airtep of April.
The operations spread across 15 African countries that Bharti is seeking to buy are grouped under an entity called Zain International. Get zian notifications from Economic Times Allow Not now You can switch off notifications anytime using browser settings.
Find this comment offensive? Please Email the Editor. The company has now million subscribers in 18 Asian and African nations. Drag according to your convenience. If the deal fructifies, the acquisition will give Bharti a firm foothold in a acqiisition untapped market and pit it in direct competition with MTN, with which it has tried and failed to merge twice.
My Saved Articles Sign in Sign up. This article is closed for comments. This will alert our moderators to take action Name Reason for reporting: Related Topics Business Companies new service. Related Articles Bharti Airtel readying funds for Zain deal. Bharti Airtel acquires Zain Africa.
The speedy process leading to the signing, underscores the importance of the deal to both parties. Another banker with knowledge of the deal said Bharti is likely to maintain flexibility on payment depending on how the talks progress—it could be financed entirely by cash or be a part-cash and part-share deal.
This will alert our moderators to take action. Never miss a great news story! When asked about keeping pace with competition, Mittal said that one not only has to compete in the market to win, but also to remain relevant. At present, the number has zaiin down to Printable version Jan 1, 4: Bharti Airtel dials Zain. Will be displayed Will not be displayed Acquistiion be displayed. State Bank of India has agreed up to one billion dollar loan in rupee terms.
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Bharti Airtel acquires Zain Africa. – ICT Magazine – Embracing the ICT World
NIFTY 50 10, 2. In response to query on performance of insurance business, Mittal said that Bharti Axa has recently got new team and fresh investments and insurance business has its own gestation period. Sunil Mittal, Mukesh Ambani paint different pictures of telecom sector. Micromax strengthens international play, to foray into South Aurtel.
This deal would signal many new investments that would go to Africa, he added.
Airtel acquires Zain’s Africa business for $10.7 billion
Bharti which had for long desired a foothold into Africa had tried and failed to access Africa through the MTN group twice. Mittal stating that in the Zain’s case Airtel would have a total control. The company has also reached a settlement with Broad Communications, the single largest shareholder in Zain Nigeria, following which its chief Otudeko would now head Bharti’s operations in Nigeria. Get instant notifications from Acuqisition Times Allow Not now.
In the past, Zain Nigeria has traded under various brands since due to a series of boardroom conflicts that had seen it metamorphorsize into Vee Networks, Qcquisition, Celtel, Zain Nigeria and now possibly Bharti Airtel. International Business World News. Bharti Airtel to close Zain Africa deal soon. In a caquisition interview with ET, Mittal said that the company would look at consolidation in countries like Kenya, Rwanda and Tanzania, through mergers, acquisitions or both, even as the overall Africa business was turning a corner.
Representatives from both companies were not available for comment.
Airtel’s rushed Africa entry was a mistake that took many years to fix, admits Sunil Mittal
The Thomson Reuters Trust Principles. It is free cash flow positive but when I look I think if I would have conserved that energy, capital and energy, probably we would have been better place today in our home market. Announcing the deal, Sunil Mittal said, “This agreement is a landmark for global telecom industry and game changer for Bharti. India should flex muscle in face of US protectionism: Announcing the deal, Sunil Mittal, chairman and managing director of Bharti Enterprises said, “This agreement is a landmark for global telecom industry and game changer for Bharti.
A banker familiar with the situation said the acceptance of the offer clears the way for Bharti to carry out a due diligence of the business before a final deal.