Latest Expert Exchange Queries

GST Demo Service software link:
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Popular Search: Central Excise rule to resale the machines to a new company :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: ACCOUNTING STANDARD :: due date for vat payment :: TDS :: list of goods taxed at 4% :: VAT RATES :: form 3cd :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit
« Mergers and Acquisitions »
 Digital payments gateway PayU eyes acquisitions to enter lending segment
 Top 5 mergers and acquisitions of 2017 in India
 Deals of the day-Mergers and acquisitions Jan 16, 2018
 Mergers & Acquisitions is accepting nominations for our 10th annual M&A Mid-Market Awards
 Why 2018 could be the year of Mergers & Acquisitions
 15 of the Best Mergers & Acquisitions of 2017
 How recent valuations have affected M&A deals
 India Inc made merger and acquisition deals worth over $60 bn in 2017
 Global appetite for mergers and acquisitions sparked by stock market rally in 2017
 2018 may see mergers and acquisitions worth $50 bn on back of stressed assets: Report
 10 Major Security Mergers and Acquisitions From 2017

FM's blessings for MTN merger
September, 16th 2009

Finance minister Pranab Mukherjee on Tuesday indicated Indias support for the proposed alliance between Bharti and MTN as South Africa waved the red flag of national pride and insisted on its home-grown multinational retaining its character as a South African entity following any deal between the mobile phone companies.

At the heart of the issue between the two governments is the question of allowing a dual listing company structure for Bharti-MTN , and Mr Mukherjee suggested, but did not promise, that South Africas concerns would be addressed. There is a provision for the dual listing of companies .

The South African (finance) minister (Pravin Gordhan) met me at G-20 finance ministers meeting (in London earlier this month) and there I suggested to him that this arrangement is to be looked into in the Indian context... There is no assurance as such, but I told him that we will look into this matter and we will see what can be done, Mr Mukherjee told ET NOW, this papers channel.

M r Mukherjee also wrote in a September 10 letter to Mr Gordhan that we need to move together to enhance cooperation in trade and investment matters and a deal such as the one under consideration would be a good example of such an effort....
Dual-listed companies retain their separate legal identities and listings on stock exchanges while entering into equalisation agreements to collectively run operations and share profits or losses. Such arrangements are seen protecting the national identities of companies.

Dual listing is not allowed in India and will need major changes to key corporate laws. On Monday, Bloomberg cited a s p o k e s m a n for South Africas communications minister and reported that MTN should keep its South African character to win approval for an alliance with Bharti. We obviously value MTN as a South African company; we want it to retain that character, it quoted Tiyani Rikhotso , a spokesman for communications minister Siphiwe Nyanda , as saying.

The proposed $23-billion deals contours, unveiled in May, involves MTN taking a 25% economic interest in Bharti Airtel for $2.9 billion plus new shares in the South African telco which is equivalent to 25% of MTNs existing shares. Besides, MTN shareholders will also get an 11% stake in Bharti Airtel through GDRs that will be listed on the Johannesburg Stock Exchange.

The deadline for exclusive talks has already been extended twice and the latest one expires on September 30. A senior finance ministry official told ET that the South African governments request to allow dual listing is difficult to oblige under current laws and India has clearly told South Africa that this issue is presently not on Indias radar.

SA demand will not trip deal

THE official pointed out that India already allows dual listing of receipts by companies, a fact that was alluded to by the finance minister on Tuesday in Chennai. He said the country allows foreign firms to issue Indian Depository Receipts while Indian companies can issue ADRs or GDRs. By doing so, shareholders of these companies get all benefits except voting rights, which they can acquire through direct foreign investment.

India has also clarified that a bilateral investment promotion agreement that is under negotiation between the two countries would include provisions for mergers and acquisitions but not provide for dual listing of shares.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Website Ranking Website Ranking Company Website Positioning Alexa Ranking Website Promotion Website top 10 ranking website top 10 promotion search engine result promotion Strategic Internet Marketing Website Optimization Website Ranking Factors

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions