KUALA LAMPUR, Malaysia-Maxis Communications Berhad of Malaysia and its Indian Joint Venture Company, JVC, plan to acquire Indian mobile carrier Aircel Ltd.
The two companies agreed to spend $1.08 billion to purchase all of Aircel. Maxis will hold a 65-percent stake in Aircel directly, and the JVC-an Indian venture between Maxis and the Chennai-based Reddy family-will hold the remaining 35 percent. Maxis’ overall equity interest will be 74 percent, which is the maximum foreign ownership permitted by Indian regulators.
The transaction is set to start with a subscription for new equity shares, which will then be followed by the purchase of all the existing shares held by Aircel Televentures Ltd. The second stage of the transaction is dependent on approval from shareholders and regulators in Malaysia and India.
