Bangladesh regulators clear Bharti Airtel's acquisition of Warid

05 Jan 2010

The Bangladesh Telecommunication Regulatory Commission (BTRC) has approved Bharti Airtel's proposed $300 million investment in Warid Telecom, the country's fourth-largest mobile service provider.

The $300 million is an initial payment and Bharti could end up paying more for a 70 per cent stake in Warid Bangladesh, regulatory sources said.

Bharti Airtel is acquiring a 70 per cent stake held by the Abu Dhabi Group in the Bangladesh company and the regulator said the money would be spent on network expansion.

The Abu Dhabi Group, a consortium of investors that includes members of the royal family of Abu Dhabi, will retain the rest of Warid.

The deal, according to reports published in the country's print media last month, could be worth as much as $900 million.

Though details of the deal were not announced, the transaction is expected to cost Bharti Airtel over $1 billion.