Norwegian telecom group Telenor said it would take a stake of 67.25, up from a previously planned 60 percent, in Unitech Wireless. It said the stake purchase will be completed by the end of 2009.In a statement on Tuesday Telenor said it would take a stake of 67.25, up from a previously planned 60 percent, in Unitech Wireless. It said the stake purchase will be completed by the end of 2009.
The ownership share will increase from 60 to 67.25 percent for the same capital injection. This brings down the enterprise valuation of Unitech Wirelsss to about Rs 10,900 crore.
Analysts and shareholders have criticised Telenor’s plans to enter India, which they say is an already crowded mobile market — the world’s second biggest.
Telenor has remained firm, saying its experience in Asia, where it is the second-largest foreign operator after Vodafone, will help it quickly gain market share as India’s mobile penetration rates double over the next three to four years.
Upon completion of the first phase of the investment, Telenor’s ownership percentage will be 33.5 percent.
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