Stet International Spa would, however, continue to hold 11 per cent stake in the company. The total foreign equity in the company will go down to 30.20 per cent from the present 33 per cent. The decrease in foreign equity due to the restructuring has occurred as Stet International NV was holding 22 per cent but Telecom Italia has acquired only 19.2 per cent.

The paid up capital of Bharti Telenet remains unchanged at Rs 300 crore even though the foreign equity component has gone down to Rs 90.60 crore from Rs 99 crore after the restructuring.

Bharti Telenet is into cellular mobile telephone and basic telephone services. The government has also allowedSrinivas Cellcom Ltd to substitute one of its foreign partner, Century Telephones Enterprises of USA, with its wholly owned subsidiary in Mauritius, Cellunet of India Ltd. The Mauritius company will hold 10 per cent stake in the company worth Rs 18 crore.

Asia Tech (Mauritius) Ltd, the other foreign partner holding 39 per cent stake worth Rs 70.20 crore, remains unchanged. The department of telecom initially had reservations about change in the foreign partner but cleared the proposal after assurance by Century Telephone Enterprises of USA that it will fully back its Mauritius subsidiary which has acquired the 10 per cent stake.