Aditya Birla Telecom Ltd., which holds 11.15 per cent stake in telecom infrastructure firm Indus Towers will merge with Telecom operator Vodafone Idea Ltd. The scheme is subject to the approval of the National Company Law Tribunal, Ahmedabad.

Vodafone Idea said in a regulatory filing, “The Board of Directors of Vodafone Idea Ltd. has considered and approved a scheme of amalgamation of Aditya Birla Telecom Ltd., a wholly-owned subsidiary of the company, with the company.”

Vodafone India said that the amalgamation will give it efficient and economical management and control over running of businesses of the subsidiaries, eliminate duplication in administrative cost and strengthen its financial position and ability to raise resources against the assets owned by ABTL such as investments in mutual funds, Indus Towers stake including ‘monetisation of such assets.’

The net worth of ABTL as of March 31, 2018, stood at Rs 6,188.91 crore and that of VIL was Rs 25,669.5 crore. Airtel through Bharti Infratel and British telecom firm Vodafone hold around 42 per cent stake each in Indus Towers and ABTL holds 11.15 per cent.

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