The Department of Telecom (DOT) is likely to approve the Vodafone India and Idea Cellular merger today, as per the new report.
"DoT is expected to clear the Vodafone-Idea merger on Monday. The certificate will be handed to them, PTI quoted official sources as saying.
The merger has been already approved by NCLT, Sebi, and CCI.
The merged entity will have 410 million customers and nearly 42 percent customer market share (CMS) and nearly 37 percent revenue market share (RMS).
"The merger will be taken on-record after Idea furnishes required bank guarantee and gives an undertaking of owning the liabilities of Vodafone India that may arise in future," the source added.
It is also reported earlier that DOT will seek a bank guarantee of Rs 2,100 crore pertaining to a one-time spectrum fee of Idea Cellular.
It is expected that the merger will give relief to both the companies.
To recall, Idea Cellular and Vodafone Group Plc announced the proposed leadership team of the combined business, that will have Kumar Mangalam Birla as the non-executive Chairman, while Balesh Sharma (currently Chief Operating Officer of Vodafone India) will be the CEO and he will be responsible for the combined business strategy and its execution as well as driving integration.
The existing leadership teams of Idea Cellular and Vodafone India will continue to manage their separate businesses and be accountable for each company's operational performance until the merger becomes effective. It is only upon completion of the merger that the two businesses will cease to operate as distinct and competing entities.
Chief Financial Officer (CFO) at Idea, Akshaya Moondra will take charge as CFO of the new company. Current Deputy managing director of Idea, Ambrish Jain will take charge as Chief Operating Officer of the new company.
However, Sunil Sood will join the Vodafone Group AMAP Leadership Team and also help governance through Board memberships.
The Aditya Birla Group intends to nominate Himanshu Kapania as the non-executive Board member of the merged entity.