Government willing to help Bharti on Zain bid if required: Khurshid
17 Feb 2010
The government has offered to extend all possible help private telecom player, Bharti Airtel in its acquisition bid for the Kuwait-based Zain's telecom operations in Africa.
"The Bharti management has not approached us yet. If they do, I will be very happy to help them because when they go out, it's not the company alone but they are our flag-bearers. We will do the utmost of what we can," corporate affairs minister Salman Khurshid said.
Bharti is engaged in talks with Zain for taking over its African operations valued $10.7 billion(See: Bharti all set to acquire Zain Africa BV)
Khurshid said the government would be happy to pitch in to compete with the best in the world.
Asked about the regulatory roadblocks the company might face Khurshid said nothing had been brought to the notice of the government yet as in the past, referring to Bharti's failed bid for South Africa's MTN (See: Bharti calls off merger talks with South Africa's MTN).
As far as the present information regarding Zain was concerned, he said nothing had come to the government but if the government were to come across anything it would do whatever was possible.
Meanwhile, SingTel, Bharti's largest foreign shareholder told Times Now tv, today that it was actively involved in the ongoing talks between the Indian firm and Zain Telecom on the proposed acquisition. The company said it had significant governance and shareholder rights and was actively involved in key decisions, including major investments. A SingTel spokesperson said from Singapore that it always sought to add value to its associates through both organic and inorganic means.
Earlier Bharti Group chairman Mittal had said SingTel was backing the the deal. The Singapore-based company holds a stake of around 32 per cent in Bharti Airtel. The domestic telecom major is looking to acquire Zain's African assets, except in Morocco and Sudan, and foray into the fast-growing African market with increasing competition and price wars hitting its growth in India.
