DoT's approval for SSTL-RCOM merger likely in Q4: Sistema
KOLKATA: Russia's Sistema JSFC said telecom department's (DoT) nod for the ongoing merger process of its India unit Sistema Shyam Teleservices (SSTL) with Reliance Communications (RCom) is likely in the fourth quarter of 2016, post-conclusion of the next spectrum auction. "Due to the new frequency auction announced by the Indian government, all consolidation transactions have been suspended until the auction's completion, with the final DoT approval of the transaction with RCom expected in the fourth quarter of (calender) 2016," Sistema JSFC said in an official statement Tuesday . The Russian conglomerate, however, expects statutory approvals from the Rajasthan and Bombay High Courts next month for the ongoing merger process. " As of mid-August 2016, the (ongoing merger) transaction has been approved by markets regulator Sebi, the Competition Commission of India, tax authorities as well as shareholders and creditors of RCom and Sistema Shyam Teleservices," Sistema JSFC said.Sistema Shyam is merging its wireless business into RCom in adeal which will see the promoters of the SSTL getting around a10% stake in RCom. Sistema's announcements coincided with its India unit, Sistema Shyam Teleservices, re porting an 11.8% on-year rise in revenue to 3.44 billion roubles `355 crore) in the April-June (` period of 2016, helped by growing data revenues and data subscriber additions. Sistema Shyam's data customer base rose to 2.02 million during the quarter from 1.9 million in the earlier corresponding period. Sistema's India unit, which operates under the MTS brand in India, narrowed down net loss to 1468 million roubles (Rs 152 crore approx) in the...31-08-2016