RCom gets CCI approval for acquiring SSTL
Q. Which company has been given approval for acquiring Russian conglomerate Sistema’s Indian telecom unit, SSTL or System Shyam Teleservices Ltd operating under the MTS brand?- Published on 23 Feb 16a. ABNIL
b. RIL
c. RCom
d. None of the above
ANSWER: RCom
Reliance Communications has indicated that regulatory authority CCI has given the approval for its acquisition of Russian company Sistema’s Indian telecom unit, System Shyam Teleservices Ltd operating under the ATS brand. The leading telecom operator announced acquisition of the all stock deal for acquiring SSTL that will create operator with 118 million subscribers in November. According to the deal, Sistema Shyam Teleservices Ltd will hold ten percent stake in Reliance Communications and pay off debts before the deal closes. System currently holds 56.68% stake in SSTL while the Russian government owns 17.14% and Shyam Group as a 23.98% stake while the rest is owned by small investors. Sistema offers mobile telephony services as part of the MTS brand in 9 telecom circles.
