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Unitech to dilute its 26 per cent stake in telecom business

Country's second largest real estate firm Unitech Ltd has appointed swiss investment banker UBS to look for a global partner to dilute the company's 26 per cent stake in its telecom business.  

Unitech Wireless, which has received pan-India telecom licences, today said it would launch operations in the first quarter of next year.     

“We have appointed UBS for searching partners and divestment while management consultant McKinsey has been hired for overall telecom business plan,” Unitech MD Sanjay Chandra told reporters.    

He said the the company expects to finalise the foreign partner in next two months.
“We are talking on the final number with couple of potential players,” Chandra said.    
The company had already announced its intention to dilute a minority stake of 26 per cent in Unitech Wireless to a strategic foreign player.     

Unitech Wireless, which bagged a pan-India GSM licence, has already got the crucial spectrum for five circles and has floated request-for-proposal for telecom equipment and five firms – ZTE, Huawei, Alcatel-Lucent, Nokia, Ericsson  have sent expression of interest, he said. The company would hire 500 personnel to manage its telecom business by September.     

The company is also planning to outsource IT services of its telecom business and for this it is in discussions with IBM, HP, Wipro and TCS.

Source: Business Standard

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