Dialog Axiata PLC to Acquire Airtel Lanka in Landmark Telecom Merger

Dialog Axiata PLC, Axiata Group Berhad, and Bharti Airtel Limited have officially sealed a Definitive Agreement to consolidate their operations in Sri Lanka. According to the agreement, Dialog will acquire 100% of the issued shares in Airtel Lanka. In exchange, Dialog will issue ordinary voting shares to Bharti Airtel, representing 10.355% of the total issued shares of Dialog, through a share swap arrangement. This transaction is contingent upon approval from Dialog's shareholders and the fulfillment of specific conditions outlined in the Share Sale Agreement, including clearance from the Colombo Stock Exchange (CSE) and completion of other legal, corporate, and regulatory compliance procedures.

The Telecommunications Regulatory Commission of Sri Lanka (TRCSL) has already granted its approval for the proposed merger, emphasizing its commitment to advancing telecommunications services across the country.

The consolidation of operations between Dialog and Airtel Lanka is poised to deliver significant benefits to the merged entity. By leveraging economies of scale, reducing infrastructure duplication, and achieving synergies in technology and capital expenditure, the combined company aims to enhance high-speed broadband connectivity, voice and value-added services, while also realizing cost savings and operational efficiencies.

Vivek Sood, Group CEO and Managing Director of Axiata Group Berhad, expressed confidence in the merger's alignment with Axiata's strategy of market consolidation and resilience. Dr. Hans Wijayasuriya, CEO Telecommunications Business and Group Executive Director of Axiata, highlighted the merger's potential to drive growth and sustainability in Sri Lanka's telecom sector, emphasizing the exciting prospects for customer experience and innovation.

Gopal Vittal, MD & CEO of Bharti Airtel Limited, shared his optimism about merging Airtel Lanka's operations with Dialog, expressing confidence in the seamless network and cutting-edge services that customers will continue to enjoy. Supun Weerasinghe, Director / Group Chief Executive Officer of Dialog Axiata PLC, welcomed the Airtel Lanka team to the Dialog family, underscoring the shared commitment to delivering superior telecommunications services in Sri Lanka.

Ashish Chandra, Chief Executive Officer of Bharti Airtel Lanka (Private) Limited, emphasized the integration of Dialog and Airtel Lanka operations as a catalyst for innovation and growth, poised to benefit consumers across Sri Lanka.