Unitech agrees to sell its Uninor stake to Telenor
11 October 2012
Realty firm Unitech has finally opted to exit Unitech Wireless, by selling its 32.75-per cent stake in the telecom joint venture with Norway's Telenor, ending months of feud.
Telenor, which held 67.25 per cent stake in the JV firm that runs under Uninor brand name, said in a separate statement that it is preparing to participate in the upcoming 2G spectrum auction through a new entity.
''Telenor and Unitech Ltd have, on 10 October 2012, reached an agreement to amicably settle all disputes between the two parties. The parties are bound by confidentiality obligations, and are, therefore, not able to provide any further comments on specific terms and conditions in the settlement,'' Telenor and Unitech said in separate statements.
The release, however, confirmed that the two parties have agreed on transferring the business in Unitech Wireless (Uninor) to a new entity controlled by Telenor.
Telenor said it is preparing to participate in the upcoming 2G spectrum auction through this new entity, but will take a final decision on whether to participate at a later date.
Unitech has agreed to dispose of its shareholding in Uninor for a nominal amount. The company, however, will continue to retain its economic rights associated with its current shareholding in Unitech Wireless, the release said.