Bharti acquires 49 percent stake in MTN for USD 4 Billion

Bharti Airtel is reportedly set to acquire a 49 percent stake and a controlling interest in the the South African giant, MTN, for a net payment of USD 4 billion (Rs. 19,200 crore) and a 36 percent stake. The net dilution is only 23.5 percent. After the failure talks last year, the deal fructified with almost a 50 percent saing for Bharti as it would have paid double the price last year. Bharti may have to undergo some pain in terms of debt being taken on and equity dilution before the gains from this acquisition are realized. Bharti currently has about USD 1 billion (Rs. 4800 crore) in cash and short-term investment, which is likely a reserve for the
auctions.

Aircel launches mobile services in Delhi, Hyderabad

Aircel unveiled its GSM based mobile services in Delhi. The parent company, Maxis, will invest about USD 10 billion (Rs. 50,000 crore) for the expansion of its Indian joint venture with Apollo Hospital, Aircel. Aircel also launched its GSM services in Hyderabad as part of its pan-India expansion rollout. The launch marked the company's entry in 13th circle and also saw completion of its expansion in the southern region. The company will invest Rs. 500 crore by mid-May and another Rs. 500 crore by December this year. After covering the Southern region, the company is now in the process of spreading its wings in the northern part of the country.

Bharti Airtel launches fastest wireline broadband on DSL

Bharti Airtel Limited has pioneered 16 Mbps broadband - the fastest wireline broadband on DSL in the country. This service, powered by Airtel's Carrier Ethernet Network, will be initially available in the cities of Delhi NCR, Chennai and Bangalore with phased roll-out to additional cities of Hyderabad, Pune, Mumbai, and Kolkata.

Infosys sets sights on BPO, KPO acquisitions

After losing out in the race to acquire UK-based SAP consulting firm Axon to HCL Technologies last year, Infosys is keen on acquisitions in the BPO and KPO spaces. It is now looking at back office functions where the companies perform very unique services with their own platform or intellectual property. It seeks to explore opportunities in traditional BPOs as well and is not restricted to KPOs. Its acquisition guidelines have not changed in this environment. The target company should ideally have revenue of about USD 300-500 million (Rs. 1500-2500 crore). Infosys is also looking at smaller acquisitions in the range of USD 100-200 million (Rs. 500-1000 crore).

ANZ plans off shoring Melbourne back-office operations to India

Australian ANZ Bank is reportedly off shoring its back-office operations in Melbourne to India by the end of the year. In 2008, the size of the operation in Bangalore grew by around 500 people and it is reasonable to expect there will be some further growth in 2009. However, its call centers will remain in Australia and New Zealand. The decision has led to criticism from the Finance Sector Union, with National Secretary Leon Carter calling on the federal government to set conditions on the support it provides to Australians in the form of government guarantees. The move will allow ANZ to focus more on its Asian business and the latest round of cuts in Australia would boost the 3,000-strong workforce it already has in Bangalore.