Three telecom giants, Mahanagar Telephone Nigam, Videsh Sanchar Nigam and Telecommunications Consultants India Ltd have formed a joint venture and got licence to offer basic telephony services including Wireless in Local Loop based services in Nepal.

The trio would tie-up with Nepal Ventures Private Ltd.

The joint venture would be making an initial investment of Rs 100 crore (Rs 1 billion) and MTNL would be the largest shareholder with 26.68 per cent stake, MTNL chairman and managing director Narinder Sharma told PTI.

While VSNL and TCIL would be holding 26.66 per cent stake, NVPL would hold 20 per cent stake in United Telecom, Sharma said.

The basic telecom operations' launch has been scheduled for May-June.

United Telecom has got the licence for Nepalese Rs 10 crore (Nepalese Rs 100 million). The company would be paying four per cent as royalty on the gross revenue and two per cent as rural development fee.