Norway warns India against harming Telenor’s interests
12 May 2012
Norway's minister of trade and industry Trond Giske has warned India of the adverse political fallout of Telenor losing business and investments in India. The minister was speaking at a press conference in New Delhi along with Telenor CEO Jon Fredrik Baksaas, today.
"Telenor is not just any company. 54 per cent of the shares are owned by Norwegian people through state and thus, it has even further political implications that such a company will be harmed,'' he said.
He said Telenor is more sinned against than sinned and said the company is suffering due to the adverse developments in the Indian telecom sector. Any failure of Telenor's $3 billion investment in India will have political implications, he said.
''If this investment fails, it will be probably the biggest loss a Norwegian company has in foreign investments ever. I think also it will be fair to say that it will influence the view of India as an investment country,'' Giske said.
Giske represents Norwegian government on the board of Telenor, which holds 67.25 per cent stake in Indian telecom operator Uninor. The balance is held by Indian realty firm Unitech.
Uninor accounts for as many as 22 licences of the 122 licences cancelled by the Supreme Court on 2 February 2012 for irregularity by the then telecom minister A Raja.
Uninor has permission to operate till 7 September 2012.