$1.65 bn rights issue initiated by India JV: Telenor

$1.65 bn rights issue initiated by India JV: Telenor

New Delhi: Telenor said on Monday its Indian mobile phone joint venture Unitech Wireless had initiated a rights issue of 8,200 crore ($1.65 billion) to secure long-term funding.

Norwegian telecom company Telenor owns 67.25% of the joint venture, which trades under the Uninor brand name. Indian real estate firm Unitech owns the remainder.

“We hope this will be subscribed to by both owners of the company to give Unitech Wireless the funds it needs to continue its strong development in the Indian market," a Telenor spokesman said in a statement to Reuters.

Unitech Wireless had earlier decided to launch a rights issue, but the process was halted after Unitech obtained a court’s “stay order". Telenor said this month another Indian court had cleared the way for the planned issue.