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DoT gives Vodafone/Idea tie-up conditional nod

10 Jul 2018

The Department of Telecommunications (DoT) has granted conditional approval to the long-delayed merger of India’s second and third-largest cellcos by subscribers, Vodafone India and Idea Cellular, the Economic Times reports. According to sources aware of the development, the DoT’s approval is dependent on the submission of bank guarantees for one-time spectrum charges (OTSC) and liberalisation fees totalling INR33 billion (USD480.4 million) from Idea and INR39 billion from Vodafone. ‘Once the companies pay up, [the DoT] will begin the transfer of Vodafone India’s licenses to Idea Cellular, which will complete the merger,’ an unnamed senior official was quoted as saying. Once complete, the merged company – to be dubbed Vodafone Idea – will be India’s largest wireless provider with more than 430 million subscribers and a market share of around 36.6% (based on March 2018 figures).

India, Department of Telecommunications (DoT), Vi (Vodafone Idea Limited, VIL), Vodafone India

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