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NTA to formulate merger and acquisition policy

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KATHMANDU, Oct 15: Nepal Telecommunications Authority (NTA) has formed a working committee to develop a merger and acquisition policy for telecom companies.



The five member committee headed by Madhav Paudel, former secretary at Ministry of Law, will submit a detailed report on the possibility of merger and acquisition in telecom sector within next 45 days.



The report of the committee, which will be submitted to NTA, will propose guidelines about necessary requirements and conditions for merger.



Kailash Prasad Neupane, NTA spokesperson and also the member secretary of the recently formed working committee, said, “We didn´t have any merger polices although some of our reports have recommended to allow merger of rural telecom operators if they wish to.”



“The policy will also have a provision to ensure that there is no merger that will end open market policy creating monopoly,” he added.



The report will be forwarded to the Ministry of Information and Communications (MoIC) which will be discussed with the stake holders before drafting policies.



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