Dialog & Airtel announce merger

COLOMBO (News 1st); Bharti Airtel and Dialog Axiata said they have entered into a binding term sheet to combine the operations of Bharti Airtel Lanka and Dialog.

In a release issued Tuesday, the companies said discussions with respect to the proposed merger are ongoing between the two parties and with relevant regulatory authorities.

In Tuesday's statement, Bharti said it envisages Airtel being granted a stake in Dialog, representing the fair value of Airtel Lanka. The company will accordingly be issued new shares in Dialog upon completion of the transactions.