UAE based Emirates Telecommunications Corp (Etisalat), acquired a 45% stake in Swan Telecom, the Mumbai-based Dynamix Balwas Group company for $900 million. It would ease the entry of the foreign telecom firm in the Indian telecom sector. Etisalat had already paid the required telecom license fee. Swan had also paid fees to operate in 13 telecom circles of India. However, total amount of $400 million as license fee, is required to cover total 22 telecom sectors of India.

Etisalat is a second largest telecom company in Arab communications by market value and is operating in 16 countries of the world. Now, it is likely to make entry in highly potential Indian telecom market. The company had also shown interest in Unitech and TATA tele services. The company was also in touch with Spice Communication bur failed to strike any deal. 

The MD of Swan, Shahid Balwa said that the company is expected to launch telecom services in the first quarter of 2009.