A new internal note by DoT says that the proposed merger of Etisalat and Allianz Infratech which was earlier disallowed by DoT may actually can be considered since the merger does not involves sale of equity.

“This arrangement appears to deal in no way with merger of companies which is in fact the issue of the present reference of DoT. Merger as well as demerger of companies takes place as per the provisions of the Companies Act, 1956. Accordingly DoT may give a re-look regarding their draft proposal. The lock-in period clause deals with sale of equity of person as a substantial shareholder'', says the internal note.

DoT had earlier rejected the merger reasoning that it involves sale of equity which is barred under the newly introduced lock-in period.