New Delhi, Nov 22: Flag Telecom and Pivotal Pvt Equity, the company which had made an offer to acquire the former at a price higher than that offered by Reliance, have "mutually" decided not to pursue their discussions, clearing the way for Reliance to acquire Flag Telecom for $207 million. In a filing with US Securities and Exchange Commission, Flag Telecom Group said, "Flag, after taking into account the agreement and plan of amalgamation with Reliance on October 16, and Pivotal, after taking into account its defined investment parameters, mutually determined not to pursue further discussions with respect to transaction between the parties." Flag had a market capital of $7 billion at its peak and has laid submarine cables of around 50,000 km across the globe and has hubs in West Asia and the US.
The company's network spans four continents and has presence in Asia, Europe, West Asia and the US.
Bureau Report