Tata Communications has shelved its plan to form a joint venture (JV) with Beijing-based China Entercom Communications (CEC) due to lack of clarity on the Chinese government’s consent for the deal

Tata Communications has shelved its plan to form a joint venture (JV) with Beijing-based China Entercom Communications (CEC) due to lack of clarity on the Chinese government’s consent for the deal. In June 2008, Tata Communications had signed an equity JV agreement with the shareholders of CEC for the acquisition of 50 per cent equity interest in the latter. With telecom being a restricted sector in China, the JV was awaiting approval from the relevant government and regulatory bodies. Despite cancelling the deal, Tata Communications has termed China a priority market and has stated that it will continue to actively evaluate long-term investment opportunities in this region.