TRAI proposes easier M&A norms for telecom players:Angel Broking,

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TRAI proposes easier M&A norms for telecom players
TRAI has recommended that mobile phone companies could merge their
operations if the combined market share of the new entity is less than 60%, a
substantial increase over the current 40% ceiling. This move is expected to promote
consolidation in the crowded and ultra-competitive 14-player telecom market. By
this, many telecom operators can get their way out from financial difficulties. TRAI
had also earlier said that the combined entity could retain only 14.4MHz spectrum
after merging and had to return the rest to the government, but in the new plan it
has now allowed the combined entity to hold up to 25% of the total available
airwaves in that region. TRAI continues to maintain its recommendation of
charging a one-time pan-India fee of `4,572cr for every unit of airwaves telecom
operators hold beyond the contracted limit. Overall, we remain Neutral on the
telecom sector with Bharti Airtel being our preferred pick.