Bharti calls off merger talks with South Africa's MTN
30 Sep 2009
Bharti Airtel has called off merger talks with South Africa's MTN after the South African government said it cannot accept the deal in its current form and that it wants MTN to remain South African.
Speaking to reporters in Johannesburg today, South African communications minister Siphiwe Nyanda said his government wants the MTN Group to remain a domestic company.
"We understand of course that this is a commercial agreement that they are seeking but we would love to see MTN remaining South African," Nyanda said, adding. "It would be sad if we saw this entity move into the hands and management of foreign nationals."
"Its management must remain South African," Nyand said.
The Jacob Zuma's government in South Africa seems to have decided against the deal after the Indian government said a duel listing of the merged entity is not possible under Indian laws.
South Africa had, n fact, approached Indian authorities to consider a dual-listed entity.
