Persistent inks pact with US firm

With the Indian telecom market growing at a fast pace,Pune-based Persistent Systems is planning to apply for a licence from the central government¿s Department of Telecommunication to run the joint venture with US telecom major Sprint Nextel Corporation.

To seek DoT nod for JV with Sprint Nextel

With the Indian telecom market growing at a fast pace,Pune-based Persistent Systems is planning to apply for a licence from the central government’s Department of Telecommunication (DoT) to run the joint venture with US telecom major Sprint Nextel Corporation.

The joint venture (JV) will service the products of Sprint in the country and focus on strengthening the companys enterprise customer base in India.

Persistent recently signed the JV with Sprint as per which the US firm will hold the majority stake of 74 per cent in the new venture,Sprint Telecom India. The new entity has been incorporated with the Registrar of Companies,Mumbai,and the JV intends to file the application for clearance with the Foreign Investment Promotion Board of India (FIPB).

Company Secretary and head (Legal and investor relations),Persistent Systems,Vivek Sadhale,said,¿As Sprints stake in the JV will be over 49 per cent,FIPB approval is required. We will then file for licence permission from the DoT before the JV kickstarts its operations.¿

The JV will have business operations in Bangalore and the staffing pattern is being worked out,said Sadhale.

As per a recent report of the DoT,the Indian telecom network had 787.2 million connections as on December 31,2010 with the number of wireless connections being 752.2 million.

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