Vodafone/Idea merger gets conditional approval from SEBI

The proposed merger of India’s second and third-placed wireless providers Vodafone India and Idea Cellular has been granted conditional approved by the Securities and Exchange Board of India (SEBI). The Economic Times writes that the conditions of SEBI’s approval relate to a complaint that one of Idea’s promoters had purchased 0.23% of Idea’s shares before the announcement of the merger agreement, in violation of securities laws. Idea has given a voluntary undertaking not to dispose of the shares in question until it receives further direction from SEBI. The cellco also stated that if the complaint was found to be valid, any liability would be bore by Idea Cellular. Vodafone and Idea have now filed for an approval with the National Company Law Tribunal (NCLT). The merger has already been greenlit by the nation’s antitrust watchdog, the Competition Commission of India (CCI).