JT-Airtel deal collapses

Monday 04 April 2016

The multi-million pound merger of JT and Airtel appears to have collapsed after Airtel pulled out of the deal.

Talks were announced last June between JT, which is owned by the public of Jersey, and Airtel, which is owned by billionaire Sunil Bharti Mittal.

The competition regulator has been consulting on the deal, which JT says has collapsed because Airtel decided not to pursue it.

When the proposed merger was announced, Treasury Minister Alan Maclean said that Airtel wanted to merge with JT and take a 25% share in the new company – enough to leave ministers with a controlling interest.

A statement from JT over the weekend suggested that there was still a possibility of the company buying out Airtel.
A spokesman said: “JT was informed late on Friday by Airtel that it had unilaterally decided to withdraw from negotiations.

“JT remains interested in Airtel's assets, particularly those in Guernsey, and remains open to further discussions if and when the opportunity arises.

“Such discussions will remain private and confidential and JT will not be making any further comment at this time.”