OSLO, Dec 14 (Reuters) - Norwegian telecoms operator Telenor will stick to its peak funding target in India where it expects to break even by the end of next year, the firm said on Friday.
Telenor has set a peak funding cap of 155 billion Indian rupees ($2.85 billion), or about 16 billion Norwegian crowns on its Indian operations and recently reduced its presence in the country to stay below the limit.
Telenor won back its telecom operating licences in six of India’s most populous states in an auction last month, after Indian authorities had cancelled 122 operating permits awarded in a corruption-tainted licensing round, forcing Telenor and others to reapply.
Telenor originally had licences in 13 circles and the Indian unit has never made a net profit.
The cost of acquiring its six new licences was 4.2 billion crowns and the firm targets above 25 percent equity return on new money invested in India
$1 = 54.4350 Indian rupees Reporting by Victoria Klesty; Editing by Balazs Koranyi