MTN / R-COM tie up in jittery

After Bharti Airtel broke merger talks with MTN, R-COM without any delay entered with a 45 day exclusivity merger talk with MTN, with a hope to create one of the biggest telecom conglomerate in emerging markets. For intial couple of weeks things seemed to be going smoothly, keeping in mind the scale of the deal and business policies of the two nations, a different deal scenarios were created, from share swaping to R-COM becoming a subsidiary of MTN. But as markets were expecting the deal to work through smoothly, there was a full stop from RIL. The RIL issued a statement saying that in R-COM and MTN deal, they have a Right of First Refusal (RoFR ). This statement from RIL, put the complete deal in jittery, which in turn led to increase in the exclusivity talk time period. Hope to see the animosity between Ambani brothers to be settled off peacefully, so that R-COM and MTN deal end up successfully.

Thanks&Regards,
Mohit Kumar

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