Telenor to form new company for India operations

Norway’s Telenor ASA, the world’s seventh-largest telecom service provider, said on Tuesday it will form a separate Indian company as it sees no future with its existing Indian partner, Unitech Ltd.

All existing assets of the joint venture in India, telecom services provider Uninor, will be eventually transferred to the new company, once all necessary approvals are received.

“Telenor Group has issued to Unitech a notice of voidance of the current shareholders’ agreement with Unitech on account of fraud and misrepresentation on their part as established by the Supreme Court judgement,” Telenor Group Director Communications (Asia) Glenn Mandelid said in a statement.

The Norweigan firm wants to transfer the business that was being done under the Uninor brand to the new company, where it will hold 74 per cent stake and may rope in a minority Indian partner.