SLT to buy Telstra stake of Mobitel

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