Telenor and Unitech to settle their issues amicably

Telenor and Unitech Limited have reached an agreement to amicably settle all the issues between them.

Both have agreed to support the transfer of the business in Unitech Wireless (Uninor) to a new entity NewCo, which will be controlled by Telenor. As per the agreement reached between the companies, Unitech has agreed to dispose-off its shareholding in Uninor for a nominal amount. However, it will continue to retain its economic rights associated with its current shareholding in Unitech Wireless.

Further, the nominees of Unitech Limited will withdraw from the Uninor board and all the special shareholder rights enjoyed by them shall stand suspended. Also, subsequent to a successful business transfer and spectrum auction, all issues and claims between Telenor and Unitech Limited will stand withdrawn and concluded.

Over past several months, both the stakeholders have been involved in dispute over Telenor looking for another partner for Uninor and Unitech opposing sale of Uninor?s assets.