All subscribers and assets of Loop Mobile in Mumbai circle will merge with Bharti Airtel, India’s biggest mobile operator said in a statement on Tuesday. "The proposed association will undergo seamless integration once definitive agreements are signed, and is subject to regulatory and statutory approvals," it added.
Though Bharti Airtel did not disclose the value of the deal, sources said it would be about Rs.700 crore. This deal assumes significance as customers of Loop Mobile (erstwhile BPL Mobile that began its operations in 1995), whose licence expires in November this year, will get continuity of services.
Under the agreement, Loop Mobile’s 30-lakh subscribers in Mumbai will join Airtel, taking its total subscriber base to 70-lakh and making it Mumbai’s largest mobile network.
"The proposed transaction will bring together Loop Mobile’s 2G/EDGE enabled network supported by 2,500 plus cell sites, and Airtel’s 2G and 3G network supported by over 4,000 cell sites across Mumbai. It will also offer subscribers the widest exclusive retail reach with 220 outlets that will enable best-in-class customer service," the statement added. However, it is learnt Airtel would not be acquiring employees of Loop Mobile.