UAE-based operator Etisalat has written off the value of its Indian operations, booking an impairment charge of USD 827 million, Reuters reports. The move comes after India ordered 122 telecommunication licences to be cancelled amid a corruption probe and also follows a similar step by Telenor, which last week wrote down USD 721 million in licences and goodwill in India. Etisalat owns about 45 percent of Etisalat DB, a joint venture between India's DB Group and Etisalat. The Indian firm had 1.7 million customers as of December and is ranked 14th in a market of 15 operators. Etisalat paid USD 900 million for the stake in the firm, then called Swan, after the licence had been applied for and granted. It has said it invested more than USD 1 billion in the venture. The operator said it booked an impairment charge of AED 3.04 billion (USD 827 million), before federal royalties, against the full carrying value of goodwill for its Indian operations, including licences. The operator said it was still mulling its strategic options in India, and there may be more financial impact.
