(Associated Press via NewsEdge) Vodafone's CEO said that his company will soon make a firm bid for Hong Kong-based Hutchison Whampoa's controlling stake in a leading Indian mobile phone company.
Vodafone CEO Arun Sarin, who is in New Delhi to meet with government officials to discuss the matter, said his company was also open to a partnership with Hutchison's Indian partner, the Essar Group that holds a 33% stake in Hutchison Essar.
Hutchison Whampoa's holding company and its associates hold the remaining 67% stake.
Sarin told reporters that Vodafone, the world's largest mobile phone company, hopes to make a formal bid in early February.
'It will take several weeks,' he said after meeting with India's Commerce and Industry Minister Kamal Nath. When asked if there would be a bid by this month end, Sarin said, 'a bit later than that.'
Sarin declined to comment on any offer price or details of how the company planned to raise money for the proposed acquisition.
Vodafone emerged a front runner last week after making an approach that reportedly valued all of Hutchison Essar at between $17 billion and $18 billion, which would make it the biggest-ever corporate takeover in Indian history.
An Indian official, who attended Sarin's meeting with Nath, told The Associated Press that the talks focused on regulations that apply to foreign investment in telecommunications.
There was no discussion on valuation of Hutchison Essar and commercial details of the deal, said the official, who didn't want to be named because of the sensitive nature of the issue. He said, however, that Vodafone appeared 'serious' about the deal.
Sarin also confirmed that the company has begun examining the books of Hutchison Essar.
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