Belgium telecom provider Proximus to buy majority stake in India's Route Mobile (updated)

Route Mobile

17/07/2023 05:56

(Adds details of the deal in paragraph 1, 2 and 4, share
movement in paragraph 3)
       BENGALURU, July 17 (Reuters) - Belgian telecom service
provider Proximus Group on Monday said it will buy a 57.56%
stake in Route Mobile  ROUT.NS  for 59.22 billion rupees
($720.53 million). 
    Proximus will pay 1,626.40 rupees per share of the Indian
cloud communications platform provider, the former said in a
statement, compared with Route Mobile's closing price of Rs
1,625.35 on Friday.
    Route Mobile's shares were down 1.7%, reversing course after
the stock jumped 8.3% to 1,759.90 rupees after the announcement,
its highest since February 2022.
    The acquisition will trigger a mandatory takeover offer for
up to an additional 26% of the total outstanding shares at the
same price per share according to Indian regulations, Proximus
added. 
        
  
($1 = 82.1900 Indian rupees)

 (Reporting by Rama Venkat in Bengaluru; Editing by Dhanya Ann
Thoppil and Janane Venkatraman)
 ((ramavenkat.raman@thomsonreuters.com; https://twitter.com/ramavenkat0607;
 +91 8095218099;))