Airtel Denies Talks about Amazon to Acquire $2 Billion-Stake in Airtel

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INTRO: As followed by the recent reports the US technology and retail giant Amazon was maybe planning on buying stakes worth $2 billion in Indian telecom operator Bharti Airtel.

As according to the reports by Reuters, the sources which are close to the talks claim the conversation is in its early stages right now and there is no confirmation yet. With this investment between the companies, Amazon will acquire almost like a very close to 5% stake in Airtel if we talk according to its current market value.

Amazon’s interest in Airtel isn’t unwarranted. The company has invested in India quite often and in many companies. In fact, it has committed close to $6.5 billion in investments in the country. With all of that said, as it has been mentioned before, talks and deals are in the early stages right now. Therefore, the terms of the deal may change, or the deal may not go through as well.

But the interesting part is that this report comes at a time when Reliance Industries’ Jio Platforms is seeing a lot of investment activity as well. Over the past few weeks these days, multiple US-based companies have invested in Jio Platforms. These include the likes of these social media related to Facebook, KKR, and others. With all these investments, Jio has raised its market quite close to $10 billion.

Now coming back to the report at hand what we have is that, when amazon was approached for a comment, an Amazon spokesperson said that the company does “not offer any comments on speculation of what we may or may not do in future for now.” Meanwhile, with all of this, the telecom operator Airtel simply said that it works with digital players routinely and regularly to bring out their products and services to Indian consumers. The company also added in that “Beyond that there is no other activity to report.”

 

 

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