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Bharti bags 8 licences for 4th cell

The process of finalising the fourth cellular licence was delayed in view of litigation in the Bombay and Madras High Courts.

With the completion of the three-stage bidding process, the government is set to mop up Rs 1,633.50 crore (Rs 16.33 billion) by issuing licences for a new operator each in 17 circles.

The successful bidders have been issued demand notes, an official spokesperson said, adding that 20 per cent of the bid amount has to be deposited by August 2 and the balance 80 per cent by August 10.

Orissa, Bihar, West Bengal and Andaman and Nicobar had not received any bid.

Bharti, which had bid for 11 circles, including Calcutta, won eight circles while doling out a total Rs 690.69 crore (Rs 6.90 billion).

In addition to the two circles of Bombay for Rs 203.66 crore (Rs 2.03 billion) and Maharashtra for Rs 189 crore (Rs 1.89 billion), Bharti has also bagged Tamil Nadu, Kerala, Madhya Pradesh, Uttar Pradesh (West), Haryana and Gujarat.

Bharti had withdrawn its bid for Calcutta after it acquired Spice.

Reliance promoted Reliable Internet settled with only the Calcutta circle for Rs 78.01 crore (Rs 780 million), sources said adding that it had originally bid for 15 circles.

It is understood to be focusing mainly on landline and long distance communication. Reliance Communication has already been issued 15 licences for starting basic services.

The company has secured a Letter of Intent (LoI) to acquire licence for National Long Distance operations (STD).

Escorts won the licence for Punjab, Rajasthan and Uttar Pradesh (East) for Rs 151.75 crore (Rs 1.51 billion), Rs 32.25 crore (Rs 322.5 million) and 45.25 crore (Rs 452.5 million) respectively.

The company has also bagged the licence for Himachal Pradesh for Rs 1.10 crore (Rs 11 million) being the sole bidder.

The lucrative Delhi circle went to the Birla-AT&T combine for Rs 170.70 crore (Rs 1.70 billion).

Barakhamba Sales clinched licences for the Madras and Karnataka circles for Rs 154 crore (Rs 1.54 billion) and Rs 206.83 crore (Rs 2.06 billion), respectively while Hutchison bagged the licence for Andhra Pradesh for Rs 103 crore (Rs 1.03 billion).

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