The all-important detail of how much equity the two companies plan to bring in to the merged entity has been left unanswered. “On consummation of the merger, RCom and Maxis Communications are committed to additional equity infusion into the merged company to further strengthen the balance sheet, fund future growth plans, and enhance financial flexibility. Both parties are already in talks with leading international investors in this regard,” RCom said in a statement. Unless the merged entity is well capitalized, its future is bleak. Loaded with debt, RCom did not bid for renewal spectrum in five circles.

Source: Mint September 14, 2016 15:33 UTC