Vodafone Group Plc. (NASDAQ:VOD | LON:VOD) may be planning on selling off its minority 4.39% stake in Bharti Airtel – the India based telecom service provider who recently became the fifth largest network carrier in the world in terms of subscribers after its acquisition of Zain’s Africa operations. The value of its stake is worth to be over Rs.5,200 crore ($1.1 million).
This is not a Airtel-specific strategy. The UK based company, it is learned, has been weaning itself away from all the minority stakes that the company has been holding in several entities across the world. You may remember statements from Vodafone CEO Vittorio Colao during the Q1 announcements when he said, “We are not here to manage minorities,”.
The company early held close to 10% stake in Bharti Airtel which was diluted to less than 5% after former Vodafone CEO, Arun Sarin purchased the 67% stake held by Hutchison in India’s rival network operated by the Hutchison-Essar group.