TIL Desk Business/ New Delhi/ Britain’s Vodafone Group today said it is in talks to merge its Indian unit with Idea Cellular in an all-share deal to create the country’s largest telecom operator to compete with Reliance Jio that has unleashed a fierce price war.
The merger of Vodafone — the world’s second-largest cellphone network operator — with the Aditya Birla Group firm — India’s third-largest cellular operator would create a company with around 387 million users and form one of the largest telecoms companies in the world.
In a statement, the UK-based company said it is in talks with Idea about an all-share merger, but the deal under consideration excludes its 42 per cent holding in Indus Towers, a joint venture with Bharti and Idea.
“Any merger would be effected through the issue of new shares in Idea to Vodafone and would result in Vodafone de-consolidating Vodafone India,” the company said. “There is no certainty that any transaction will be agreed, nor as to the terms or timing of any transaction.”
