Viom Networks, a mobile tower joint venture company between Tata Teleservices and the Kolkata-based Srei Group, has decided to put on hold decision to recruit a new chairman for the company, after Subodh Bhargava stepped down last month.
“At this juncture, we do not need a chairman for Viom. Sunil has taken over as vice-chairman and managing director of the company. If we find someone to our liking, we will have a chairman. We are not in a hurry to appoint a chairman,” said Hemant Kanoria,Chairman and Managing Director, Srei Infrastructure Finance.
Last month, Bhargava had resigned from Viom following differences with the management. Bhargava was appointed as an independent chairman in 2009, after the merger of the tower businesses of Tata Teleservices and Quippo to form Tata Quippo, later named Viom Networks.
Last September, the company had run into controversy over charges of financial irregularities, following allegations that the Kanorias had diverted money to private institutions. The company had appointed KPMG to probe it. Kanoria, however, said KPMG had found the allegations to be baseless, though Bhargava had told Business Standard last month that post the report, he thought it best to step down as an independent professional.
Viom is majority-owned by the Tata Group with a 54 per cent stake. The Srei Group and a clutch of private equity funds own 46 per cent stake, and has management control of the company. Bhargava, on the other hand, has been associated with several Tata Group companies.
Viom has also put its listing plans on the backburner. “Right now, we are not going for listing Viom. We will wait until there is market stability,” said Sunil Kanoria.
Viom Networks has about 39,000 towers across all 22 telecom circles in the country, with a highest tenancy of over 2.45x per tower.
