Tuesday, Jun 17
NEW DELHI - Anil Ambani, Reliance Communications Ltd. chairman, is considering buying more than 40% of MTN, Africa's biggest wireless company, according to a news report published on the Web site www.ft.com.
Until now it has been thought Ambani would limit himself to a 34.9% stake in MTN, because if he went any higher he would be obliged under South African laws to make an offer to buy out the African company's other shareholders.
The report, quoting people close to the matter, said Ambani was looking at the case for a "whitewash" procedure under which MTN's shareholders would vote on whether to waive their right to a tender offer.
If the shareholders agreed, Ambani may end up owning 40-45% of MTN.
MTN's largest shareholders are Newshelf, a company that holds 13% on behalf of the group's staff, and Public Investment Corp., a South African state-owned pension fund, which also has 13%.
The third largest shareholder is M1, a company that holds almost 10% on behalf of Lebanon's Mikati family. The family was the largest shareholder in Investcom, a Middle East mobile operator bought by MTN in 2006.
1 comment:
Mukesh Ambani is simply making a big noise over nothing.Its just a jealous older brother trying to hamper a prosperous younger brothers growth. The claims made by Reliance Industries Limited are baseless and were based on an agreement in 2006, which was signed only by Reliance Industries officials and was later overturned by the Bombay High Court.
This deal would would create one of the world’s largest emerging-markets telecom operators with 115m subscribers spread across Africa, India and the Middle East.
I wish the ADAG group all the luck.
Also i came across this blog which talks about the whole deal and Mukesh Ambani's selfishness http://mukesh-ambani-big-bully-brother.blogspot.com
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