New Delhi: The Anil Ambani group on 4 July asked the market regulator, Securities and Exchange Board of India (Sebi) to probe hammering down of shares of Reliance Communications and other companies by rivals and charged Reliance Industries Ltd (RIL) with attempting to derail ongoing talks for a deal with South African telecom giant MTN.
The Anil Ambani group wrote a letter to Sebi seeking a probe into the dip in shares of Reliance Communications (RCom), which had touched a 52-week low of Rs 381.05 on 3 July, ADAG sources said.
Comments from RIL, which had shot off a fresh letter to RCom and MTN yesterday invoking the arbitration clause under the non-compete agreement with ADAG, could not be immediately obtained.
Sources said ADAG has charged RIL with desperate attempts to derail discussions with MTN and also accused rival interests of market abuse to impact valuations.
“RIL has invoked the provisions of dispute resolution contained in the non-competition agreement dated 12 January 2006, and has invited RCom to participate in the process of mutual conciliation prior to commencement of formal arbitration,” RIL statement had said.
The second communication by RIL, after its first letter asserting right of first refusal on any stake sale, could cast a shadow on negotiations between MTN and RCom, both of whom are seeking to extend the exclusivity agreement for talks for the deal.
ADAG has also said that RIL was undermining Anil’s efforts to create a global telecom giant worth $70 billion with strong Indian roots by merging RCom and MTN.