Rival telecom network operators Axiata Group and Bharti Airtel have finalized their merger plan to combine their business in Bangladesh.
The new entity Robi will serve approximately 40 million customers – focusing on mobile Internet as well as consolidating its position as the second largest operator in the country.
Bharti Airtel is also in the process of exiting from select telecom markets in Africa. Recently, Bharti Airtel, India’s top telecom player, announced its deal with Orange to sell a part of the telecom business in Africa.
Stakeholders of Robi
Axiata 68.3%
Bharti Airtel 25%
NTT DOCOMO of Japan 6.7%
Axiata will hold 68.3 percent equity stake in the entity and Bharti will have 25 percent, while the remaining 6.7 percent will be held by the existing shareholder, NTT DOCOMO of Japan.
Supun Weerasinghe, chief executive officer of Robi, said: “The Bangladesh telecom sector solicits consolidation and we believe this merger will form greater economies of scale for both Groups.”
Gopal Vittal, managing director and CEO (India and South Asia), Bharti Airtel, said that the combined entity will be well positioned to leverage the operational synergies to serve customers better with world-class services.
Axiata recently announced its deal to buy telecom business in Nepal from TeliaSonera.
