If the transaction materializes, it will allow the companies to cut costs, share infrastructure and pool capital. Poor financial performance These three telecom operators are not generating substantial increase in revenues. ( Top Indian telecom operators based on revenue in Q1, Airtel leads ) Both Tata Teleservices, which is 26 percent owned by Japan's largest mobile company NTT Docomo, and Aircel have been struggling to pare their debt – around Rs 23,000 crore and Rs 22,000 crore, respectively. Sistema, owner of MTS India, would be the dominant shareholder if the three companies agree to merge. The company, which is partly owned by the Russian government and operates in India through a joint venture with Shyam Telecom, has identified consolidation as the route to growth in the Indian market. M&A guidelines The ET report says the government will shortly announce revised M&A guidelines for the sector.