BSNL clears first round for Zamtel

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  • Published 14.01.10

New Delhi, Jan. 13: State-run BSNL has moved to the second round of bidding for a 75 per cent stake in Zambia Telecommunications Ltd (Zamtel).

Four companies — BSNL, Libya’s LAP Greencom and LAP Green Networks duo, Angola’s Unitel, and the Russian team of Vimpel Communications and Altimo Holdings — will bid in the second round for Zambia’s lone fixed line operator.

“All the four companies that submitted the first round bids on December 23, 2009, for up to a 75 per cent stake in Zamtel have successfully gone to the second round of bidding,” said the Zambia Development Agency, an official body promoting economic growth and development.

When contacted, BSNL chairman and managing director Kuldeep Goyal said, “We had participated, now selected, we shall see and go forward from here.” The agency said the next round of bidding would begin on Monday.

The shortlisted bidders will conduct further due diligence on Zamtel before submitting new offers. Details of the bids will remain confidential. Analysts said high competition and falling revenues at home along with good prospects abroad had prompted Indian firms to explore overseas market for buys.

BSNL, which is looking for opportunities across the globe, is more interested in African and West Asian markets. The PSU has shortlisted eight consultants, including Ernst & Young, McKinsey, KPMG and PricewaterhouseCoopers, for its plans of mergers and acquisitions, strategic partnerships and overseas forays.