Wednesday, August 19, 2009

MTN Asks Airtel to Raise Offer By $1 Billion

MTN, the South African mobile operator, wants Bharti Airtel, the Indian mobile operator, to raise its offer by more than $1 billion, if the planned possible merger has to be successful.
The two operator have been talks from past two months for a deal worth $23 billion, and have extended their exclusivity period until the end of August. A further extension in the merger is anticipated. According to a media source Bharti is "willing to go some way to increase the offer", but the deal may still collapse.
The further $1 billion sought by MTN is mostly cash and would account for around a 9% premium to the original Bharti offer.

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