Next Telecom Big Deal

MTN South Africa's Group and Reliance Communications India's may swap shares or they merge their companies together to become the largest in India as the sources were saying.This would be the largest merger that take in the Indian telecoms sector.

On Monday the companies were discussing on the possible combination, just after the India's top mobile firm Bharti have ended the talks with MTN after they don't crack an deal between 2 of them.Bharti said that MTN proposed a structure that unacceptable to the firm and due to which the deal is not move and the talk between the companies have ended .

An Analysts said that Reliance Communication's chairman(i.e) Anil Ambani, who is the chairman of No.2 mobile operator in India would have talk with MTN and valued the market of MTN that is $38 billion.MTN which has more than 68 million subscribers which is far more than Reliance Communications which has around 48 million.that's why the talk of swap share is going on and the result would be laid down in the upcoming days.News were flowing that MTN can take a stake of 15 percent in Reliance Communications or less.It is likely to be a simple share swap and nothing else according to the views from inside .

An banking source said that Reliance had informal talks last year with MTN but their is no ovecome camed out of that talk.If talks don't progress as expected then the two could trade minority stakes in each other and the result can be seen by everone in the future..