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| Etisalat to shut shop in India |
| Press Trust of India / New Delhi Feb 22, 2012, 20:43 IST |
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 Abu Dhabi-based Etisalat today said it would shut down its operations in India following Supreme Court cancelling its telecom licence.
"As unanimously resolved by the Board this evening, Etisalat DB will be taking steps to reduce operating costs, including the suspension of its network and services, pursuant to the terms of its UAS licences," the company said in an e-mailed statement.
The company said the decision of the Supreme Court to revoke all 122 UAS licences issued by the government of India in January 2008 "has removed EDB's ability to operate from June 2, 2012".
Etisalat is the second foreign company, after Bahrain Telecom, to exit India, following the apex court ruling of February 2.
"The decision has been taken in order to protect the interests of all stakeholders and to avoid incurring further costs at this time of rapid change and continued uncertainty in the Indian telecommunications sector," Etisalat said.
Etisalat had 1.67 million subscriber across 15 circles.
On February 9, Emirates Telecommunications Corp (Etisalat) had written off about $820 million worth value of its Indian operations by way of an impairment charge as an after effect of Supreme Court order.
Anil Ambani Group firm Reliance Infratel had sought Rs 1,200 crore from Etisalat DB in rental for telecom towers the company had used for its operations.
"Further information, including the official cessation date will be communicated shortly to EDB's customers through the appropriate channels," the statement added.
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