Top Story


Home >> Advertising >> Article

Tatas, Reliance bid for VSNL disinvestment

Font Size   16
Tatas, Reliance bid for VSNL disinvestment

The Government has received bids from the Tatas and the Reliance group for 25 per cent equity stake in Videsh Sanchar Nigam Ltd (VSNL), which has been slated for disinvestment this fiscal.

The consortium led by Sterling Cellular Ltd, has opted out at the last minute. It had sought two more weeks from the Ministry of Disinvestment for putting in its bid, which was denied.

A final decision on the winning bid is to be taken by the Cabinet Committee on Disinvestment on February 5.

Currently, the Government holds 52.97 per cent stake in the company, which stands at Rs 285 crore. The ADR stock of the company comprises 29.22 per cent of the share capital and financial institutional investors hold 7.82 per cent, while public hold 1.97 per cent. Indian companies and financial institutions hold 6.78 per cent of the shares.

VSNL has already seen a dent in its valuation because of the decision to open up international long-distance services by April 2002. What is more, with Internet telephony due to be allowed, VSNL could suffer a bigger dent.

Also, the two rounds of dividends of 500 per cent and 750 per cent, leading to depletion in cash reserves, announced by VSNL, are likely to lower its valuation.

Source: Business Line


Kranti Gada joined the family business at Shemaroo in 2006 after a successful stint of over two years in marketing at Pepsi Co. She has been associated with the company for 12 years.

Exchange4media interacted with Jaspreet Chandok, Vice President and Head (Fashion) , IMG Reliance Pvt. Ltd on seamless brands integrations planned for Lakme Fashion Week, walking tall despite blazing trails like GST, demonetization and being a part of the larger cultural space

Their strategy to educate the consumers to make well informed decisions at all stages has worked out well.

Bobby Pawar, MD, CCO - South Asia, Publicis India, talks about his idea of chilling out

Launches third phase of TVC campaign ‘Think it. Done’

Based in Mumbai, Usha has nearly two decades of experience in the Indian media and entertainment sector and will serve as a strategic advisor to H+K’s diverse portfolio of clients with a special empha...

Report based on media channel data in 96 countries and detailed findings from the world‘s key ad markets, which between them account for approximately two-thirds of the value of global advertising tra...