Bharti Airtel has completed the acquisition of Zain Telecom’s Africa operations for US$bn. Read more about Bharti Airtel completes acquisition of Zain on Business Standard. In the largest ever telecom takeover by an Indian firm, Bharti. Bharti had a very low “Net Debt to Equity Ratio” of at the end of Dec., which means that it was virtually a debt free company It is good.
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Then there was the fact that India, afquisition core market, was still drawing too many management resources of the company. Representatives from both companies zan not available for comment. By expanding its business outside the country, Bharti Airtel can in the long term benefit from economies of scale, including getting better deals from suppliers, Bhatia said. The understanding of the market was lacking. This one Indian innovation could transform Africa. He declined to be named as his organization does not authorize him to speak to the media.
Zain has operations bhxrti 17 countries in the region and is claiming to be the second largest operator after MTN. Bharti has operations in Sri Lanka, and also acquired a majority stake in Warid Telecom, the fourth largest operator in Bangladesh.
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Bharti Airtel dials Zain. The Zain deal would also catapult the Indian entity into the league of world’s top 10 telecom avquisition. Bharti Airtel is also looking outside India to boost its margins, as the Indian market has become very competitive, with voice call rates sometimes as low as 0.
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He said Zain Africa would now be per cent subsidiary of Bharti International. This deal would signal many new investments that would go to Africa, he added. To see your saved stories, click on link hightlighted in bold. zsin
Bharti-Zain deal Stock quote: What is the outlook for telecom stocks? Drag according to your convenience. Two years airtdl, things are not much better.
Five years on, Airtel’s Africa business still off target – Livemint
Never miss a great news story! This will alert our moderators to take action. The company announced that it would launch the Airtel brand in Zain’s operations in all the 15 nations in October.
Analysts say Zain had not invested enough in its Africa assets and was bleeding cash. Costs were high and they were experimenting with tariff cuts. The company has also reached a xain with Broad Communications, the single largest shareholder in Zain Nigeria, following which its chief Otudeko would now head Bharti’s operations in Nigeria. Micromax strengthens international play, to foray into South Africa.
It seemed like a good idea at the time. This will alert our moderators to take action Name Reason for reporting: Asked whether he regretted missing a deal with MTN twice and whether that was his first choice, Mr. As operators in India have shown, achieving a minimalist cost structure is the best foundation an operator in an emerging market can have. Mr Shetty was also of the view that being acquisitjon pioneer of the low-cost, outsourced model of operations, Bharti can replicate it in Africa, airtrl market conditions are similar.
The pricing is likely to come down by over 50 bps now.
Bharti Airtel completes acquisition of Zain | Business Standard News
This acqhisition is closed for comments. The acquisition gives Bharti Airtel a total customer base of million, including million subscribers it had in India at the end of April. Mon, Jun 08 The operations spread across 15 African countries that Bharti is seeking to buy are grouped under an entity called Zain International.