Cellular market shows phenomenal growth
New Delhi: As compared to the last year the cellular market grew by a phenomenal 92 per cent in February this year. The total number of subscribers has reached 3.42 million, up from 1.77 million last year.

The fastest growing segments were the markets classified as "C" circles. The department of telecommunications classified the Indian telecom market into "metro" and "A", "B" and "C" telecom circles, based on subscriber potential.

The subscriber base in "C" circles expanded by nearly 175 per cent, more than twice as fast as the lucrative metro markets where the subscriber base grew 73.34 per cent.
Back to News Review index page  

ICICI bags Rs. 130 crore for ICICI Bank stake
New Delhi: ICICI Limited, divested 3.6 per cent stake in ICICI Bank for Rs 130 crore in favour of a foreign institutional investor at Rs 175 per share. This divestment brings down the holding of the financial institution in the bank 47 per cent.

The divestment also ensures that ICICI Bank ceases to be a subsidiary of ICICI, although the latter will continue to work closely with the bank to maximise group synergies.
Back to News Review index page  

UTI Bank-GTB share swap ratio may remain unchanged
Mumbai: Even though the revised valuation report by Deloitte Haskins & Sells, recommended a marginally lower ratio, the share swap between UTI Bank and Global Trust Bank merger is likely to remain unchanged at 2.25 i.e. nine shares of UTI Bank to four shares of GTB.

The consultancy firm, appointed by UTI Bank for revaluation of the share swap ratio, held its final meeting on the issue today where the chief executives of both banks and the executive director of GTB were present. The report is to be forwarded to the Reserve Bank of India.

This was arrived at after taking into consideration the financials of Global Trust Bank up to December 31.
Back to News Review index page  

VSNL seeks free entry into basic telephony
Mumbai: The country’s international telephony major, Videsh Sanchar Nigam Limited, is seeking a waiver of the license fee for its proposed foray into basic telephony in the country.

This, alongwith its demand for a reduction in the revenue sharing ration from the Centre, is the telecom giant’s package for compensation for giving up its monopoly in international voice traffic next year.

The company wants the Centre to waive the entry fee of Rs 30-70 crore per circle, besides a change in revenue sharing. Earlier the company had asked for free licences for an A category Internet service and domestic long distance telephone foray.

The waiver will also play a crucial role in determining the valuation of the international telecom carrier, which is offering 25 per cent stake to strategic investors.

The rush for basic telecom licence is driven by the opportunity to offer limited mobility based on wireless in local loop technology. Delhi and Mumbai have become attractive because operators providing basic services here will also provide Wireless in Local Loop-based mobile telephony, covering the entire city.
Back to News Review index page