Loop Mobile is ready to shut down its services in the Mumbai circle from November 29, 2014. The telecom operator informed its customers about its business closing through text messages. The intimation of the shutdown is in line with the directions from the Telecom Regulatory Authority of India (TRAI) requiring Loop to inform its subscribers about the date of closure of its services.

The operator’s licence in the Mumbai circle is expiring on November 29, 2014. In order to continue with the telecom services, the company had to buy back spectrum in the February 2014 auctions, but it did not participate in the auctions. Following this,    Bharti Airtel signed a strategic agreement with Loop Mobile to buy its business and assets in the Mumbai circle subject to regulatory approvals. But the Department of Telecommunications raised objection to the acquisition of Loop Mobile citing revenue loss to the exchequer and violation of the mobile number portability (MNP) norms.