Providence selling stake in Idea Cellular for $190 million | Reuters

MUMBAI A subsidiary of Providence Equity Partners is selling its 3.3 percent stake in India's third-biggest mobile phone carrier Idea Cellular Ltd for at least $190 million, according to a deal term sheet seen by Reuters on Monday.The Providence unit, P5 Asia Investments (Mauritius) Ltd, will sell about 120 million shares in the mobile carrier on Tuesday in a price range of 106.5 rupees ($1.60) to 114.55 rupees a share, the term sheet showed.The lower end of the range is a 7 percent discount to Idea's closing price of 114.55 rupees on the National Stock Exchange on Monday and would value the 3.3 percent stake at nearly $192 million. Idea, part of the Aditya Birla conglomerate and about 20-percent owned by Malaysia's Axiata, is in talks over a merger with Vodafone's Indian subsidiary, potentially creating the country's biggest phone carrier.Idea shares have surged nearly 47 percent since the two sides confirmed merger talks on Jan. 30

Reuters February 27, 2017 21:48:53 IST
Providence selling stake in Idea Cellular for $190 million
| Reuters

Providence selling stake in Idea Cellular for 190 million
 Reuters

MUMBAI A subsidiary of Providence Equity Partners is selling its 3.3 percent stake in India's third-biggest mobile phone carrier Idea Cellular Ltd for at least $190 million, according to a deal term sheet seen by Reuters on Monday.The Providence unit, P5 Asia Investments (Mauritius) Ltd, will sell about 120 million shares in the mobile carrier on Tuesday in a price range of 106.5 rupees ($1.60) to 114.55 rupees a share, the term sheet showed.The lower end of the range is a 7 percent discount to Idea's closing price of 114.55 rupees on the National Stock Exchange on Monday and would value the 3.3 percent stake at nearly $192 million.

Idea, part of the Aditya Birla conglomerate and about 20-percent owned by Malaysia's Axiata, is in talks over a merger with Vodafone's Indian subsidiary, potentially creating the country's biggest phone carrier.Idea shares have surged nearly 47 percent since the two sides confirmed merger talks on Jan. 30.

($1 = 66.7000 Indian rupees)

(Reporting Savio Shetty and S.Anuradha of IFR; writing by Devidutta Tripathy; editing by David Clarke)

This story has not been edited by Firstpost staff and is generated by auto-feed.

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