New Delhi, May 2 (PTI) Telecom operator Bharti Airtel on Tuesday said it entered into an agreement with Axiata group to merge its Sri Lanka operations with Dialog Axiata.

"Dialog Axiata Plc, Axiata Group Berhad and Bharti Airtel Limited (collectively "the parties"), have entered into a binding term sheet to combine operations of Bharti Airtel Lanka (Private) Limited, Airtel's wholly-owned subsidiary with Dialog, a subsidiary of Axiata Group Berhad," Airtel said in a regulatory filing.

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Airtel will get a stake in telecom operator Dialog under the proposed transaction that will represent the fair value of Airtel Lanka.

"Airtel would accordingly be issued new shares in Dialog upon completion of the transaction," the filing said.

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The proposed transaction is subject to signing of definitive agreements and necessary closing conditions, including applicable regulatory and shareholder approvals, it said.

"The parties will issue further announcements in due course should there be any material developments," the regulatory filing said.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)