Bharti, Zain to announce deal closure today

India's largest telecom company Bharti Airtel is set to announce the closure of its $10.7-billion deal for most of the Kuwaiti firm's African assets. Zain will receive $7.9 billion from Bharti today before both firms make an announcement about the final closing.

Bharti has called for a press conference in New Delhi this afternoon, but did not provide more details. Sunil Mittal, the firm's chairman, will attend the press conference.

In March, Zain struck a $9 billion deal selling its operations in 15 African countries, excluding Sudan and Morocco, to Bharti.

Kuwaiti daily al-Rai said in a report earlier today, citing informed sources, that $400 million will be deposited into the Kuwaiti firm's accounts after completing some procedures related to the transfer of Zain's license in Gabon to Bharti. The remaining $700 million will be received by Zain a year after the closing, according to the agreement.

The closure gives Bharti control of Zain's operations in all the 15 African markets in which it operates. It implies that Bharti has wrapped up approvals from the governments and regulators of each of these 15 nations. Top Zain executives are in New Delhi for the closure.

The Economic Times reports that a 40-member management team from Bharti Airtel headed by its chief executive for international operations, Manoj Kohli, will soon relocate to Kenyan capital Nairobi, the city chosen by the company to base its African headquarters. This management team will work with Zain's top executives in all 15 countries where it offers services in Africa and oversee its operations.