BSNL bids for Millicom's Sri Lanka operations

Ankur Garg (Company Secretary and Compliance Officer) (114773 Points)

17 September 2009

Thursday 17 September, 2009.

BSNL bids for Millicom's Sri Lanka operations

State-owned telecom service provider Bharat Sanchar Nigam (BSNL) on Wednesday said it has bid for Luxembourg-based Millicom's Sri Lankan operations.

BSNL Chairman and Manging Director Kuldeep Goyal told reporters that the company has put in bid for Millicom's Sri Lanka operations, but declined to provide further details.

The Nasdaq-listed firm Millicom provides prepaid cellular telephony services to over 30 million customers in 16 emerging markets in Latin America, Africa and Asia.

It has put its assets in Sri Lanka, Laos and Cambodia up for sale.

According to industry sources, BSNL would have a tough competition ahead where it will have to fight the likes of Malaysia's Axiata Group and Etisalat from United Arab Emirates among others to acquire the company.

The telecom PSU has been looking at various opportunities to expand its operations in the overseas markets.

There were reports that it was planning to participate in a consortium to acquire a stake in Kuwait-based telecom firm Zain, which the company later denied.

Indian telecom operators, including private players have been looking at foreign shores for growth.

Bharti Airtel is negotiating with South African telco MTN for a deal.

State-run Mahanagar Telephone Nigam is also scouting for acquisitions abroad.