Dialog Telekom acquires 100% stake in MTT Network

Dialog Telekom Ltd ("Dialog") entered into a Share Purchase Agreement (SPA) for the acquisition of a 100% stake in MTT Network Pvt Ltd ("MTT").

The SPA was entered into between Dialog and the shareholders of MTT namely Sunpower Systems (Pvt) Ltd., Sipson Investments Ltd., and R. Maharaja.

The SPA envisages a purchase price of Rs 1.86 Billion to be paid by Dialog to the shareholders of MTT at the completion of the transaction.

The completion of the transaction is envisaged to take place prior to year-end, conditional upon the satisfactory conclusion of conditions precedent to the consummation of the transfer of ownership.

The proposed transaction has received the approval of the Telecommunications Regulatory Commission of Sri Lanka. Following the completion of the transaction, MTT would continue to operate as a distinct and separate entity empowered by the licences granted to it under the Telecommunications Act.

As a fully owned subsidiary of Dialog, the company will benefit from inputs from its parent (Dialog) in terms of ongoing investment and capacity building, technology vision and specialised technology.