Vodafone Group on Friday said it has 100% ownership in its India mobile-phone unit, Vodafone India (VIL), after it bought out the 11% owned by Piramal Enterprises in its Indian subsidiary.
Piramal Enterprises had on Thursday said it will divest its entire equity stake, comprising 45,425,328 shares, in Vodafone India to Prime Metals, an indirect subsidiary of Vodafone Group , for a total of R 8,900 crore, valuing the shares of Vodafone India at R1,960.
Vodafone in March completed the acquisition of indirect equity interests in VIL held by Analjit Singh and Neelu Analjit Singh, taking its stake to 89.03%. On Friday, Vodafone acquired the remaining 10.97% of VIL from Piramal Enterprises.
The Foreign Investment Promotion Board approved both acquisitions on February 20, 2014, following receipt of an approval by the Cabinet Committee on Economic Affairs. "The combined cash consideration for both transactions was R10,142 crores(£1.0 billion),” Vodafone said in a release. “We are delighted to have secured 100% ownership of one of our fastest growing businesses,” said Vittorio Colao, CEO, Vodafone Group.
"Our business will continue to connect communities and offer the best products and services – from entertainment to our innovative money transfer service, M-Pesa – to enhance the lives of Indians throughout the country,” he added.