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Tata Tele Ropes In Rk Swamy To Craft Basic Services Brand

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BUSINESS STANDARD

Tata Teleservices (TTSL) has roped in RK Swamy BBDO to find a common brand for its basic telecom operations.

The new brand, which is under development, will be launched in new circles such as Delhi, Tamil Nadu, Gujarat and Karnataka. With this, it will eliminate the present Tata Teleservices brand in Andhra Pradesh as well.

TTSL, which is planning to phase out the "Hughes' basic brand in the Maharashtra circle following the acquisition of a controlling stake in Hughes Tele.com India, will also launch the new brand here at a later stage.

Ajay Pande, who is a member of the transition committee formed to integrate Hughes Tele.com India (HTIL) with the company, said, "The brand will be developed and announced shortly. As part of the Tata group vision, we will have a common basic brand across the country."

 

TTSL has also announced the formation of a transition committee comprising Pande, who is the nominee of TTSL, and Vivek Seth, chief financial officer of HTIL, as the HTIL nominee.

The committee will be responsible for ensuring the seamless transition. Pande's main role is to spearhead the process of integration of HTIL with TTSL after obtaining all statutory approvals.

Maharashtra is a key circle for TTSL's overall presence in the Indian telecom market. Maharashtra links up Gujarat and Karnataka, where TTSL would be unveiling basic services shortly. This will ensure a continuous footprint across the country.

At present, TTSL has presence in Andhra Pradesh with a basic user base of two lakh. It is planning to invest around Rs 5,000 crore over a period of time to develop new circles and has initiated talks with financial institutions and banks to raise funds to part-fund the project.

The Tatas' entry into the Maharashtra circle, one of the largest telecom circles in the country, by picking up a controlling stake in Hughes Tele.com for Rs 5.10 a share from its promoters, has helped the group get an addition use base of 2 lakh to the existing 2 lakh.


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First Published: Aug 14 2002 | 12:00 AM IST

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