Unitech on Thursday approached the Company Law Board (CLB) against Uninor’s decision to auction its business and assets.
Unitech, which owns about 33 per cent stake in Uninor, has requested CLB to stay the auction. It also sought a restraint on any sale or transfer of Uninor’s business and assets.
“Pass an order restraining the respondents (Telenor) from taking any action in pursuance of sale and transfer of the business and/or assets of the respondent No. 1 company (Uninor) in any manner,” said the real estate firm in its petition.
Uninor has set a minimum price of Rs 4,000 crore for the India telecom business and said Telenor would pay Rs 4,190 crore in case no other bidder evinces interest by August 6. Unitech’s application was mentioned on Thursday before a CLB bench headed by its Chairman Justice DR Deshmukh, who directed it to be listed for hearing on Friday.
Unitech has been at loggerheads with Telenor over the future of Uninor. While the Norwegian firm wants to transfer Uninor’s business into a new entity and bring in a new Indian partner, Unitech wants its share of the deal.
Uninor on Wednesday said that it will auction its business and assets in a bid to get maximum possible returns for its investors. The company has invited bids till August 6. Norway’s Telenor is already in the race to buy the company. The move is being opposed by joint venture partner Unitech.
The company said this process will ensure that the value of Uninor business is secured beyond September 7, as the winning bidder would have the ability to continue Uninor’s business as a going concern beyond September 7.
Unitech, however, said the fact that Uninor, the auctioneer and the only party to have expressed interest already are all under the direct control of the same management of Telenor, only shows that this is not a free and fair process.