Uninor, a telecom company promoted by Telenor of Norway and domestic realty player Unitech, expects to achieve break-even by next year. "I see a possibility of break-even happening during the first half of next year,” managing director, Sigve Brekke, said. He said, Uninor's investors would like the company to be profitable within three years of its existence.
Addressing a press conference on Saturday, following a meeting with the company’s employees here, Brekke said Telenor has a long-term commitment to India and is likely to invest an additional Rs 1,500 crore.
Since 2007, Telenor has invested Rs 14,500 crore. The investments could further go up to Rs 15,500 crore or Rs 16,000 crore. Beyond this level, investments would come from the cash flow the company would generate.
He said Uninor was not looking towards acquisition of 4G licences. The company, at present, was focused on voice and not data related services.
Brekke also said the Union government was yet to respond to Telenor's notice invoking India's bilateral investment treaty with Singapore to protect its investment in Uninor. The government has six months time to respond , he said and that he was hopeful that the 2G spectrum impasse would be resolved before this period.
He further added that it was yet to decide whether the brand name Uninor would be changed after Telenor gets separated from its joint venture partner Unitech. The company is in a legal battle with Unitech in the Company Law Board over the separation issue.
Meanwhile, Uninor is stated to be witnessing strong subscriber growth across its 13 commercial circles. In Andhra Pradesh, it had added over 300,000 customers in the months of January and February, the highest ever by the company in the state.