RCOM signs definitive agreements to merge wireless operation with Aircel

Reliance Communications (RCOM) has signed definitive agreements to merge its wireless operations with Aircel’s wireless business. RCOM and Maxis Communications Berhad (the Malaysia-based parent company of Aircel) will each hold a 50 per cent stake in the merged entity, with equal representation on the board of directors and all committees. The merged entity is likely to be ranked amongst India’s top four operators in terms of customer base and revenues. Further, it is expected to have an asset base of over Rs 650 billion and a net worth of Rs 350 billion.