Bharti Back to Clinch MTN

It seems that MTN, SA telecom giant is meant to be acquired by an Indian. The whole MTN drama started from last year, first it was India's largest Telecom player, by revenue, Bharti Airtel shown interest in MTN but the deal was finally broken. But things did not end in between, the next offer came of RDAG group MD, Mr. Anil Ambani. But even that effort did not yield positive result, and was broken in between.

But finally after the election in the home country, Bharti again sensed oppurtunity to inlcude MTN into its kitty, and to fullfil its global ambitions plan. Bharti has brought in bankers from Stanchart bank to make the deal and to arrange the money for the deal.

The 23 bn $ worth deal will see both companies, going for both equity sharing and cash dealing. In the end Bharti will shell out 4 bn$ to buy 49% stake in MTN, while MTN like to acquire 36% in Indian telco.

Though just like last time, the deal is facing stiff resistance from shareholders in SA and Bharti has also take in account how things formulate from local telecom perspective, also the power sharing among the top management of current MTN and Bharti.

Thansk&Regards,
Mohit