Russia's government is considering investing 680 million dollars (525 million euros) in an Indian telecoms firm to help out the majority Russian owner, a newspaper reported here today.
Russia has set aside 23.7 billion rubles "for acquiring shares in the joint venture Shyam Telelink," now known as Sistema Shyam TeleServices, in its draft budget for 2009, the 'Kommersant' daily said, citing a copy of the document.
A source close to the deal told the 'Kommersant' the funds would go to buying a 20 per cent stake in Sistema Shyam TeleServices, which has licences to provide mobile phone services in 22 Indian regions and has over 5,00,000 subscribers.
The Indian venture is already more than 73-per cent owned by Russia's Sistema group, which is controlled by billionaire Vladimir Yevtushenkov and also owns Russia's largest mobile phone operator, MTS.
Under the agreement being considered, Sistema would retain a majority stake in the Indian venture and Russia would buy the shares as part of a plan to settle New Delhi's outstanding Soviet-era debt to Moscow, the daily said.
The newspaper said Sistema would find it difficult to pursue its Indian expansion plans without extra support due to its hefty debt burden. Many big Russian companies have scaled back investment due to the global credit crunch.
Showing posts with label Shyam Telelink. Show all posts
Showing posts with label Shyam Telelink. Show all posts
Wednesday, March 18, 2009
Thursday, September 27, 2007
Sistema takes 10% in Shyam
Russian telecom firm Sistema has finally got a foothold in India — the company has picked up 10% stake in Shyam Telelink, which offers CDMA-based mobile services in Rajasthan, for $11.4 million.
Sistema said that it intends to increase its stake in Shyam to 51% after receiving approval from the Foreign Investment Promotion Board (FIPB) of India. If it goes through, the overall value of the deal may reach $58.1 million.
Earlier, Sistema had tried to pick up a stake in Aircel Cellular, but the deal fell through. It was also in the race for Hutchison’s stake in Hutch-Essar.
In a related development, Shyam Telelink has also applied for mobile licences, also called Universal Access Service Licence, across the country.
Sistema, which was founded in 1993, is the largest private sector consumer services company in Russia. Sistema, along with its subsidiaries serve over 80 million consumers in Russia, the CIS and Eastern and Western Europe
(Source: Economic Times)
Sistema said that it intends to increase its stake in Shyam to 51% after receiving approval from the Foreign Investment Promotion Board (FIPB) of India. If it goes through, the overall value of the deal may reach $58.1 million.
Earlier, Sistema had tried to pick up a stake in Aircel Cellular, but the deal fell through. It was also in the race for Hutchison’s stake in Hutch-Essar.
In a related development, Shyam Telelink has also applied for mobile licences, also called Universal Access Service Licence, across the country.
Sistema, which was founded in 1993, is the largest private sector consumer services company in Russia. Sistema, along with its subsidiaries serve over 80 million consumers in Russia, the CIS and Eastern and Western Europe
(Source: Economic Times)
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