Tata to say ‘ta ta’ to telecoms business

Tata to say 'ta ta' to telecoms business

In a big cardinal about-face at the Tata Group, Cyrus Mistry, a year afterwards demography over as the administrator of the group, has absitively to avenue the telecom business completely, sources with absolute ability allotment that the Tata Accumulation has accomplished talks with Vodafone to advertise both Tata Communications and Tata Tele. Accord talks are at a “preliminary stage” sources point out.

It will be a accord in several stages as both Tata Tele and Tata Comm accept ample shareholders with ascendancy on lath decisions. Japanese close NTT Docomo holds 26% in Tata Tele and has a put advantage which expires on March 31, 2014. Sources advance that Docomo may accord a one year addendum to their put advantage to pave the way for a accord with Vodafone. ET had appear on Tata Tele-Vodafone accord talks on January 3, 2014.

Government of India holds 26% in Tata Communications and as allotment of the accord negotiations with Vodafone, Tata Accumulation will aboriginal shop for out government’s pale in the aggregation and again advertise to the UK based telecom giant. Talks amid Tatas and the government accept been on for a while. In the acting Tata Comm is affairs it’s pale in African arm Neotel to Vodafone’s Vodacom.

In acknowledgment to an e-mail concern beatific by ET Now on the specific concern to Tata Sons, “Tata Sons is attractive at departure telecom business completely, talks are at a basic stage” Tata Sons’ agent said, “We do not animadversion on speculation.” When ET Now contacted Vodafone, the agent said, “No comment.”