Vodafone confirms merger talks with Idea

Vodafone Group Plc on Monday confirmed that it is in discussions with the Aditya Birla Group about an all share merger of Vodafone India and Idea Cellular.

Vodafone said it is in discussion to merge its India mobile business with Aditya Birla Group’s Idea.

It will exclude Vodafone’s 42 per cent stake in Indus Towers.

Any merger would be effected through the issue of new shares in Idea to Vodafone and would result in Vodafone deconsolidating Vodafone India.

There is no certainty that any transaction will be agreed, nor as to the terms or timing of any transaction, sources said.