Sistema Shyam TeleServices Limited (SSTL) has deferred its plans for an initial public offering (IPO), say news reports.
It is believed that this decision is on account of volatile market conditions and an uncertain regulatory framework in the telecom sector.
However, SSTL may reconsider the plan after the new telecom policy is announced.
Commenting on this, Vsevolod Rozanov, president and CEO, SSTL said, ?Given the present regulatory environment and unproductive market conditions, especially in the telecom sector, an IPO might not result in good valuations. One is looking forward to introduction of the new telecom policy which should in turn enable liberal merger and acquisition norms.?
He added that such policy issues will help in consolidation of the sector, thereby improving the operating environment in the entire industry.
