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The ongoing spat between Telenor and its joint venture partner Unitech has further intensified.
The real estate major on Friday moved a local court seeking a bar on Telenor from forming any new venture in the telecom space.
Unitech has also sought injunction against Telenor's proposed move to transfer Uninor's assets to a new entity.
Protecting investment
“This is a step taken to protect Unitech's investment in telecom business,” Unitech said in a statement. The move follows Telenor's decision to float a new venture to participate in the upcoming 2G spectrum auction. The Norwegian major recently said that it will find another Indian partner for the venture by June 2.
Reacting to the development Telenor said it remained committed to its plans. “We have been made aware of yet another attempt by Unitech to stall this process and we will meet them in court, as we have done successfully earlier,” Mr Glenn Mandelid, Director of Communications, Telenor Group region Asia, said.
This intensifies the ongoing spat between the two companies, which started with Unitech challenging Telenor's plans to go for a Rs 8,000-crore rights issue. While Telenor holds 67 per cent stake in Uninor, the real estate firm has the balance. Telenor wanted to go for a rights issue to fund Uninor's expansion plan, a move opposed by Unitech on grounds that there were better means to raise funds.
The issue was taken to the Company Law Board and even as this issue was being decided, the Supreme Court cancelled Uninor's licences. Telenor then sought to distance itself from Unitech by deciding to exit the venture and a float a new one with another partner.
Unitech is opposing this move too and wants Telenor to buy out its stake in Uninor at a fair value before looking for a new partner.
Unitech had sought about $150 million from Telenor to sell its stake in the telecom joint venture but the Norwegian firm had rejected this offer.
Unitech then asked the CLB that this issue be settled through arbitration, a move that was opposed by Telenor. On Friday, the CLB reserved its verdict on Unitech petition.
Meanwhile, the Income-Tax Department has attached the shares of three companies through which Unitech Ltd holds stake in Uninor for alleged outstanding income-tax dues.
The Tax Department has told the CLB the Unitech Group companies had outstanding income-tax dues to the tune of Rs 701 crore.
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