After having failed to acquire Africa’s MTN, Sunil Mittal has now set his eyes on Zain to enter Africa. But his best bets could be much closer home than he thinks.
Africa? A book one thumbs: listlessly, till slumber comes...”: Countee Cullen
Businesses today couldn’t help but disagree with Countee Cullen’s poetic rendition of the Dark Continent. Companies across the globe have been increasingly laying out plans to acquire invaluable assets in the continent where the fruits of global economic growth have been the slowest in the coming. Understandably, it’s a key to Bharti’s ambitions towards becoming a powerful emerging market telecom giant; ambitions that seem to be growing by the day, undeterred by rounds and rounds of MTN disillusionment.
Bharti Airtel kickstarted 2010 with the announcement to acquire a 70% stake in Bangladesh’s Warid Telecom International (a wholly owned subsidiary of UAE’s Dhabi Group) for about $300 million. This was a landmark deal for Bharti Airtel, as it was the company’s first acquisition in the international market. Though the company also has operations in Sri Lanka, it was not through inorganic route. But given that it is only the fourth largest operator in the entire country and has a current subscriber base of 2.9 million subscribers, the company has made it clear that they might be looking at further acquisition in the Bangladeshi markets. Further, on the heels of this acquisition came out hushed rumours that the company was looking at strategic stakes as well as other options to enter Bhutan.
Add to it the fact that starting from February 15, 2010, Bharti Airtel has entered into exclusive talks with Kuwaiti telecom major Zain to acquire its assets in Africa (except for its operations in Morocco and Sudan). This exclusive talk period would last till March 25, and the deal is expected to be worked out till May. It is noteworthy that this is Bharti’s third attempt to enter the African market as it has tried to woo another MTN to enter into an alliance twice in the past and failed in both the attempts.
Africa? A book one thumbs: listlessly, till slumber comes...”: Countee Cullen
Businesses today couldn’t help but disagree with Countee Cullen’s poetic rendition of the Dark Continent. Companies across the globe have been increasingly laying out plans to acquire invaluable assets in the continent where the fruits of global economic growth have been the slowest in the coming. Understandably, it’s a key to Bharti’s ambitions towards becoming a powerful emerging market telecom giant; ambitions that seem to be growing by the day, undeterred by rounds and rounds of MTN disillusionment.
Bharti Airtel kickstarted 2010 with the announcement to acquire a 70% stake in Bangladesh’s Warid Telecom International (a wholly owned subsidiary of UAE’s Dhabi Group) for about $300 million. This was a landmark deal for Bharti Airtel, as it was the company’s first acquisition in the international market. Though the company also has operations in Sri Lanka, it was not through inorganic route. But given that it is only the fourth largest operator in the entire country and has a current subscriber base of 2.9 million subscribers, the company has made it clear that they might be looking at further acquisition in the Bangladeshi markets. Further, on the heels of this acquisition came out hushed rumours that the company was looking at strategic stakes as well as other options to enter Bhutan.
Add to it the fact that starting from February 15, 2010, Bharti Airtel has entered into exclusive talks with Kuwaiti telecom major Zain to acquire its assets in Africa (except for its operations in Morocco and Sudan). This exclusive talk period would last till March 25, and the deal is expected to be worked out till May. It is noteworthy that this is Bharti’s third attempt to enter the African market as it has tried to woo another MTN to enter into an alliance twice in the past and failed in both the attempts.
Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)
