Vodafone to list in India,says Pieters

Currently,among the top mobile operators Bharti Airtel,Reliance Communications and Idea Cellular are already listed. Vodafone is the only major operator that has not gone for listing so far. However,with tariffs at rock bottom rates and stagnant revenue of most operators,funds would be needed by operators to expand their operations in the country and take on growing competition.

A note published by JP Morgan in January said that Vodafone-Essar’s enterprise value was about $11.7 billion,down from $18.8 billion in 2007,when the company bought Hutchison’s 67 per cent stake.

Vodafone has already invested $23 billion in the country,including $12 billion for acquisition of the Hutchison stake. It invested $6 billion to roll out operations and acquire spectrum in the last four years.

Meanwhile,the hearing of Vodafone India’s ongoing $2.5-billion tax case in the Supreme Court,scheduled for July 19,has been postponed. “This start date has been postponed for procedural reasons. We do not yet know the new date,” said group spokesman Ben Padovan. “We have not made a provision in our accounts as we strongly believe that no tax is due. Also,because Vodafone is the buyer it seems harsh to be pursued for capital gains tax,” added Padovan. FE

Vodafone may sell a stake in India unit

(Agencies)

British mobile operator Vodafone is in talks with at least two private equity funds to sell a stake in its Indian operations.

The company may well cash-strapped and is also talking about listing on Indian stock markets.

Earlier this month,Vodafone sealed a long-awaited deal to buy out its partner Essar from their Indian mobile joint venture for $5.46 billion,giving it 74 percent shareholding in the venture.

The company may offload 1 percent to existing Indian investors and then sell a larger stake to an overseas financial investor,an unnamed group official told the paper.

Voadafone officials could not immediately be reached for comment.