Press Esc to close
Saturday 25 October 2014
News updated at 11:20 PM IST
Weather
Max: 27°C
Min : 19.2°C
In Bangalore
Generally cloudy

Airtel promoters did not violate takeover norms: Govt

New Delhi, Mar 19, 2013, (PTI) :

Capital market regulator Sebi has found no violations of takeover norms by the promoters of telecom major Bharti Airtel during certain transactions that took place in 2007-2008, Parliament was informed today.

Sebi had probed the matter following complaints that certain promoter entities of Bharti Airtel had violated some provisions of takeover norms, Minister of State for Finance Namo Narain Meena informed the Rajya Sabha in a written reply.

As part of its probe, Sebi had sought comments from the entities concerned and examined the responses received.


"After examination and taking in to consideration relevant case laws, it was observed that the allegation do not stand eastablished..." the minister said, while adding that the matter was closed in November 2012.

The complaints related to alleged violation of Sebi norms for takeover and substantial acquisition of shares, when the promoter group shareholding of Bharti Airtel rose from 60.91 per cent to 67.03 per cent during the period from June, 2007 to September, 2008.

It was alleged that Pastel Ltd acted as a person acting in concert (PAC) with two promoter entities -- Bharti Telecom and Indian Continental Investment Ltd (ICIL) -- for purpose of acquiring 6.27 per cent shareholding in Bharti Airtel, which attracted an obligation to make an open offer under the takeover norms.

However, Meena said that the allegations were not established, as two persons can be termed as PAC only if the common purpose of substantial acquisition of shares pursuant to an agreement, co-operate by agreeing to acquire shares rights in the target company.

"Pastel does not appear to share common objective or purpose with Bharti Telecom or ICIL with regard to acquisition of shares/voting rights/control of Bharti Airtel, therefore, its holding cannot be taken together with shareholdings of Bharti Telecom and ICIL for the purpose of acquisition of shares of Bharti Airtel made by ICIL," he said.

Further, he said the promoter and promoter group does not figure in the list of entities which are considered as "deemed PAC" as per the takeover norms.

In response to a specific query about the action taken by the Company Law Board (CLB) in this matter, the minister said that violations of takeover norms does not fall within the jurisdiction of CLB.

Go to Top

Photo Gallery
Mrs. Komal Kalra Pagarani who is all set to represent India...

Mrs. Komal Kalra Pagarani who is all set to represent India...

Fire at Balaji Studio Killick Nixon Studios in Mumbai...

Fire at Balaji Studio Killick Nixon Studios in Mumbai...

Sikh religious warriors, display their horse-riding skills at an event organized to celebrate...

Sikh religious warriors, display their horse-riding skills at an event organized to celebrate...

Bollywood actor Shatrughan Sinha with his family during Amitabh Bachchan's Diwali party in Mumbai..

Bollywood actor Shatrughan Sinha with his family during Amitabh Bachchan's Diwali party in Mumbai..

Sachin Tendulkar and his wife Anjali with Abhishek Bachchan during Bachchans' Diwali party...

Sachin Tendulkar and his wife Anjali with Abhishek Bachchan during Bachchans' Diwali party...

Narendra Modi clicks photographs during the Diwali Mangal Milan programme at BJP headquarters...

Narendra Modi clicks photographs during the Diwali Mangal Milan programme at BJP headquarters...

Nitin Gadkari leaves after meeting RSS Chief Mohan Bhagwat at RSS headquarters in Nagpur...

Nitin Gadkari leaves after meeting RSS Chief Mohan Bhagwat at RSS headquarters in Nagpur...

Brother & Sister take holy dip in river Yamuna on the occasion of Bhai Dooj...

Brother & Sister take holy dip in river Yamuna on the occasion of Bhai Dooj...

Dhoni talks to Hockey India player Ashunta Lakra during launch of hockey team in Ranchi...

Dhoni talks to Hockey India player Ashunta Lakra during launch of hockey team in Ranchi...

Brother of Thailand's Prime Minister Payap Shinawatra takes part in Robe...

Brother of Thailand's Prime Minister Payap Shinawatra takes part in Robe...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523