Telecom services companies opting for merger and acquisitions (M&A) activity may have to seek approval from telecom tribunal TDSAT, sources told Economic Times. The draft guidelines are learnt to have replaced permission from the High Court with 'Tribunal' for finalising the deal of two telecom operators.

The report adds that in the revision of guidelines in process, a DoT panel on M&A has proposed one year time for completing transaction and exemption from cross holding norms that prohibits incumbent companies from having more than 9.9 per cent stake in competing firms.

The panel on M&A has noted that many telecom service providers are listed on stock exchanges and have to go through a long process to complete the deal.

The report further says that under the norms for new Unified Licence regime announced last week, operators are completely barred from holding any stake in a rival company.

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