The Scheme was also approved at a meeting called on the directions of the National Company Law Tribunal.
The shareholders of Aircel Limited also approved the scheme on April 22nd.
A petition is being filed with the NCLT, Mumbai Bench, for approval of the said Scheme, the company said.
The transaction is yet to get all approvals required, though it has received approval from the Securities and Exchange Board of India, BSE Limited, National Stock Exchange of India Limited and Competition Commission of India.
The Department of Telecom has given approval, contingent on the company carrying out certain changes.
“The RCOM-Aircel merger will create a strong operator clearly ranked amongst India’s top 4 telcos by customer base and revenues, also ranking amongst the top 3 operators by revenues in 12 important circles,” the company said.
The merged entity will have the second-largest spectrum holding amongst all operators, aggregating 448 MHz across the 850, 900, 1800 and 2100 MHz bands, and will enjoy enhanced business continuity through extended validity of spectrum holdings till 2033-36.
It will be one of India’s largest private sector companies, with an asset base of over Rs. 65,000 crore (USD 10 billion) and net worth of Rs. 35,000 crore (USD 5.38 billion), it added.
RCOM’s overall debt including the deferred spectrum payment liability will be reduced by Rs 20,000 crore (USD 3.07 billion) and Aircel’s debt will reduce by Rs. 4,000 crore (USD 615 million), upon completion of the transaction.
Post closing, the Company and the present shareholders of Aircel Limited will hold 50% stake each in Aircel Limited.