Etisalat to shut shop in India
Following the Supreme Court cancelling its telecom license, Abu Dhabi-based Etisalat on Wednesday said that it will shut down its operations in India.
This is the second company in last two days announcing the closure of its operations due to cancellation of its licences. On Tuesday S Tel (a joint venture between Bahrain Telecom and Chennai-based Siva Group) said it is helping its subscribers move to other operators, an indication that it may be shutting its shop. “As unanimously resolved by the Board on Wednesday, Etisalat DB will be taking steps to reduce operating costs, including the suspension of its network and services, pursuant to the terms of its UAS licenses,” the company said in its statement.
“The decision has been taken in order to protect the interests of all stakeholders and to avoid incurring further costs at this time of rapid change and continued uncertainty in the Indian telecommunications sector,” Etisalat said.
Etisalat had 1.67 million subscriber across 15 circles. On February 9, Emirates Telecommunications Corp (Etisalat) had written off about $ 820 million worth value of its Indian operations by way of an impairment charge as an after effect of Supreme Court order.
Anil Ambani Group firm Reliance Infratel had sought Rs 1,200 crore from Etisalat DB in rental for telecom towers the company had used for its operations.
