Deals
Vodafone, Idea Agree on Merger to Create Indian Wireless Leader
- Enlarged company has valuation of about $23.2 billion
- Idea shares fall after initially surging in Mumbai trading
Vodafone, Idea Agree on Merger to Create Mobile Leader
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Vodafone Group Plc agreed to merge its unit in India with Idea Cellular Ltd., joining forces with a local partner to confront a raging price war in the world’s second-largest mobile-phone market.
The U.K. carrier will own 45.1 percent after selling a 4.9 percent stake to billionaire Kumar Mangalam Birla’s holding companies, the companies said on Monday. Birla’s holding companies will initially own 26 percent in the publicly traded company, with the right to equalize their stake by buying more from Vodafone. Vodafone and Idea will share control of the entity.