Litigation, sagging financials to hit Tata Tele, R-Com merger talks

Tata Teleservices' huge debt is around Rs 30,000 crore

Any proposed merger between Tata Teleservices and the group of companies lead by Reliance Communications is likely to be difficult.

According to reports, the Tata company has been approached to join the proposed combination comprising Reliance Communications, Aircel and MTS. However, the Supreme Court is hearing a petition against Aircel in the 2G case, and till the apex court does not dispose of the case, the fate of the proposed combination, even without Tata Teleservices in the mix, is uncertain.

Reports of the proposed merger emerged after Tata Teleservices' talks with Vodafone to merge their operations failed. 

On February