"The logic of the deal has been shaping over the years and has been based on the financial success of both the companies," Colao said.
Here is the complete inside story of how Tatas and Docomo reached a deal after face-to-face meetings, mails and numerous phone calls.
A large number of Indian mutual funds namely HDFC Mutual Fund, Tata Mutual Fund, SBI Mutual Fund and Birla Mutual Fund also supported the issue.
The Reserve Bank’s lawyer said he would need to review the petition by the two parties before proceeding to argue either way.
Details of the proposed mechanism are sketchy, but the sources cited suggest that the intent is to find a route that will bypass the objections of RBI.
While discussions are still on, sources familiar with the situation say that the Japanese investor could end up with 15-20 % in the merged entity.
Indo Gulf is a division of Aditya Birla Nuvo, a diversified conglomerate of the Aditya Birla Group which itself is in the middle of a mega merger with Grasim Industries.
However the manufacturing units along with the low margin original equipment manufacturer (OEM) piece and the projects business that supplies ACs to railways have been kept out of this deal.
Havells likely to buy Lloyd Electric's consumer business for Rs 1500 crore, to get toehold in room AC segment
In a market crammed with about two dozen brands, Lloyd is third largest player in the room AC segment after Voltas and LG.
“It will be interesting to see if Tatas give a revenue commitment for the future. The worry is the industry still looks at the company as a quasi-captive unit.”
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