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HomeNewsTelecom NewsIdea-vodafone merger gets Centre’s nod
Thursday, 26 July 2018 11:34

Idea-vodafone merger gets Centre’s nod

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On 26 July, the Government approved the merger of Vodafone and Idea Cellular.The Department of Telecommunications (DoT) had given an initial clearance to the merger on July 9 with conditions that the merged entity will have to abide by the decisions of the telecom tribunal and other courts. These would stay even after the final clearance.

At the time of giving the initial clearance, the DoT asked the two operators to clear the dues that were pending towards them to get the final clearance.

The merged entity, which would have over 430 million subscribers, came after Idea Cellular and Vodafone India made a joint payment of Rs 7,268.78 crore to the Department of Telecom (DoT) for merging their respective telecom businesses. The payment was, however, made ‘under protest’. Bharti Airtel is currently the market leader with 344 million customers.

The two telecom operators would now approach Registrar of Companies (RoC) for stipulated filings of approvals, completing the last leg of formalities.

Idea Cellular and Vodafone India, earlier this week, made a joint payment of Rs 7,268.78 crore ‘under protest’ to the government. This included Rs 3,926.34 crore paid in cash and Rs 3,342.44 crore furnished as bank guarantees.

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