The foreign companies who win a licence to offer telecom services in the upcoming spectrum auction scheduled to begin in November will get three months time to form their new venture, reports PTI.

"At the stage of participation, they would not need to be, but as happened in 3G and BWA (auction), a completely foreign-owned entity can participate and if it wins it will have to nominate a company with not more than 74 per cent foreign equity within three months," Telecom Secretary R Chandrashekhar was quoted by PTI as saying.

As per the present norms, a foreign entity is required to set up a joint venture with an Indian company before participation in the auction process.