India’s Bharti and South Africa’s MTN have again extended their merger talks by another month, this time declaring a deadline of September 30 as a successful outcome appears likely. According to the Financial Times, a statement from Bharti noted that “discussions between the parties regarding the potential transaction continue to progress satisfactorily.” It is the second time this month that an extension has been announced. An initial deadline of July 31 was pushed back to August 31 at the beginning of August. Reports today suggest that this latest extension is likely to be the last, with a conclusion expected shortly. Bharti chairman Sunil Bharti Mittal was quoted by India’s Economic Times as stating that talks are now focused on “administrative issues, the process of seeking permissions and working towards a scheme of arrangement acceptable to all,” with Mittal being “very hopeful” of a deal before September 30. Bharti is due to hold its shareholder meeting today.

This latest move comes as MTN’s shareholders are reportedly looking for Bharti to sweeten its side of the deal by offering an additional roughly US$1 billion (a scenario Bharti’s chairman says he will not pursue in today’s Economic Times). As previously reported, Bharti is believed to have received substantial interest from banks willing to fund its side of the deal. Meanwhile according to the latest Reuters report banks are close to finalising a US$4.5 billion syndicated loan for MTN. According to the original merger plans, Bharti will acquire a 49 percent shareholding in MTN, while MTN and its shareholders would acquire an approximate 36 percent stake in Bharti, of which 25 percent would be held by MTN with the remainder held directly by its shareholders. The US$23 billion deal would create a telecoms group with combined revenues of over US$20 billion and a customer base of over 200 million (creating the world’s third-largest mobile operator), which would combine Bharti’s market-leading Indian business with MTN’s various business units across Africa and the Middle East.