Tata Sons have held discussions with other telecom companies to sell its stake in the telecom venture, but nothing concrete has materialised
After failing to offload the loss-making telecom unit Tata Teleservices, N Chandrasekaran, chairman of Tata Sons, is considering to wind down the mobile services business, reports Economic Times.
If Tata Sons shuts down Tata Teleservices, it would become the first major business unit of the conglomerate to be shut down in 149 years.
Tata Sons have held discussions with other telecom companies to sell its stake in the telecom venture, but nothing concrete has materialised.
The parent organisation has made efforts to turn around Tata Tele by deciding to infuse Rs 12,000 crore recently after it had invested Rs 2,000 crore in the financial year 2016-17 as per the report published in Business Standard.
The company has 4 percent market share of Indian mobile telecom market and has 45 million mobile subscribers.
The company can reduce its debt by selling telecom spectrum. The lenders of the company for the first time would have to take a haircut on their loan exposure to a Tata entity.Tata Group is looking to shed non-core and loss-making business to focus on core business as it is sitting on a debt of USD 25 billion.