INSUBCONTINENT EXCLUSIVE:
Idea Cellular is holding an EGM to approve the modalities of merger with Vodafone IndiaIdea Cellular shares closed over 3 per cent higher on
on Tuesday, a day marked with its extraordinary general meeting (EGM) that is being held to deliberate over the modalities of its merger
The Aditya Birla Group's telecom company will decide on change of the merged entity's name to Vodafone Idea, and will also take a call on
The scrip opened at Rs 56, and swung between Rs 58.20 and Rs 55.20 in the intraday trading on the bourse.On the NSE, Idea Cellular shares
jumped to a high of Rs 58.35 on Tuesday before closing 3 per cent higher at Rs 57.70
On May 14, Idea shares had hit their 52-week low of Rs 50.10 on the NSE."Approval of the Members is being sought by way of special
resolution, authorising the Board to issue Non-Convertible Securities, including but not limited to NCDs, up to an aggregate amount not
exceeding Rs 15,000 crores on a private placement basis," the company announced in a stock market filing on June 1.In terms of one
'implementation agreement' dated March 20, 2017, it was proposed to change the name of the merged entity to include the names of Vodafone
and Idea, the company informed in a stock market filing.For the merger, the companies first approached the approval of Competition
Commission of India (CCI)
In May 2017, markets regulator SEBI had sought clarification over the merger of two companies.The joint enterprise of Vodafone and Idea
Cellular, currently country's number two and number three telecom companies, respectively, would unseat Bharti Airtel to grab the top slot
Once the deal goes through, Vodafone will own a 45.1 per cent stake in the merged entity, while Idea Cellular will have 26 per cent.On March