New Merger and Acquisition guildelines by TRAI

BANGALORE, INDIA:

India's telecom regulator proposed guidelines that would facilitate mergers between firms in the country's crowded mobile phone sector, and if implemented could help boost company earnings.

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India's once-booming telecom sector has struggled in recent years due to ferocious competition and a massive graft scandal, prompting authorities to overhaul decades-old industry regulations.

The Telecom Regulatory Authority of India (TRAI) issued proposals that would allow mergers to create companies with a maximum market share of 60 percent, and said TRAI consent would be required for any merger that would create a company with a market share between 35 and 60 percent.

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