Vodafone has this week received approval from India's Foreign Investment Promotion Board (FIPB) to buy out the remainder of its Indian unit for 101.41 billion rupees ($162.9 million).
But the transaction is not a done deal just yet, as it still requires final approval from India's Cabinet Committee on Economic Affairs, the Business Standardreported.
The proposed buyout values Vodafone India at 811.3 billion rupees, around 42% more than the 570 billion rupees Vodafone paid in 2007 to acquire the 67% stake in what was then known as Hutchison Essar.
Vodafone currently owns 64.4% of Vodafone India, and had previously been constrained from raising this above 74% due to laws limiting foreign direct investment (FDI) in the Indian telecom sector.
But in July last year, India's government approved an amendment to this law allowing 100% FDI, so long as the transaction is approved by the FIPB.
As had been widely expected, Vodafone applied to the Board in October seeking to hike its stake to 100%.
Vodafone is soon to be flush with cash thanks to its planned $130 billion sale of its 45% stake in Verizon Wireless to Verizon.