Sri Lanka Telecom has agreed to buy out the foreign shareholder in its associate company, Mobitel for 9.6 million dollars.
Australian telecom giant Telstra, which owns a majority sixty percent stake in Mobitel, will sell the stake to SLT who owns the balance 40 percent stake.rn
rnIndustry watchers say the two companies have already signed a share purchase agreement.rn
rnMobitel, which started operations in 1992 on a Build, Operate and Transfer (BOT) agreement, has a subscriber base of over sixty thousand.rnSLT invested a further Rs. 70mn in the mobile operator in 1996 when the BOT agreement was discontinued. rn
rnMobitel officials were not available for comment when this edition of LBR was recorded.rn