In a recent podcast, Chinnakannan Sivasankaran, the founder of Aircel, discussed the challenges he faced a decade ago, emphasizing that success itself became problematic due to political interference. He recounted how politicians intervened, leading to the loss of his company. Reflecting on the business environment at that time, he contrasted it with the present, stating that India has significantly changed and become more supportive of entrepreneurs.
Sivasankaran mentioned that he was forced to sell his stake in Aircel to Maxis Berhad in 2006, when the Malaysian company acquired a 74% stake. He expressed frustration that if he had been allowed to sell to AT&T, he would have received a much higher sum, approximately $8 billion. Instead, he ended up making a relatively modest ₹3,400 crore from the deal. His main grievance was not the forced sale itself, but rather the limitation on his ability to choose the best offer available.
He highlighted that today’s India is vastly different, with a more liberalized environment where entrepreneurs are less likely to face undue pressure to sell their businesses to specific parties. Sivasankaran pointed out that the business climate has improved, offering greater freedom and protection for business owners, which was not the case a decade ago.
Aircel eventually exited the market in February 2018 due to financial difficulties. The Aircel-Maxis deal later became the subject of scrutiny in 2011 when Sivasankaran alleged that he was coerced into selling his company to Maxis Berhad. This historical context underscores the significant changes in India’s business environment, where now, according to Sivasankaran, entrepreneurs can build and run their businesses without facing the same level of external pressure and interference.
By drawing comparisons between the past and the present, Sivasankaran’s reflections illustrate the evolution of India’s business landscape, highlighting the shift towards a more supportive and liberalized framework for entrepreneurs.
