		<div class="wpcnt">
			<div class="wpa">
				<span class="wpa-about">Advertisements</span>
				<div class="u top_amp">
							<amp-ad width="300" height="265"
		 type="pubmine"
		 data-siteid="111265417"
		 data-section="2">
		</amp-ad>
				</div>
			</div>
		</div><p>Vodafone is to merge its Indian operation with Idea Cellular in a deal that will create the Asian country&#8217;s biggest telecoms firm.</p>
<p>The British-based giant said it has struck an agreement with Idea&#8217;s owner, the Indian conglomerate Aditya Birla Group, which will see it hold a 45% stake in the new entity. Aditya Birla Group will own 26%, with the option to acquire more shares from Vodafone.<br />
Shares in Vodafone were broadly flat in morning trading at 211.2p.</p>
<p>Neil Wilson, senior market analyst at ETX Capital, said: &#8220;A sensible move by Vodafone as it just doesn&#8217;t have the appetite to fight a long and bitter price war on its own. A unit that does little for free cash is better let go its own way for now.&#8221;</p>
<p>Vodafone said there would be &#8220;substantial&#8221; cost savings to be made off the back of the deal, estimated to be around $10bn. The new firm will cater to almost 400 million people.</p>
<p>Vodafone chief executive Vittorio Colao said: &#8220;The combined company will have the scale required to ensure sustainable consumer choice in a competitive market and to expand new technologies &#8211; such as mobile money services &#8211; that have the potential to transform daily life for every Indian.&#8221;</p>
<p>Vodafone cautioned in February that it will meet the lower end of its full-year earnings outlook as it faces mounting competition in the UK and India. The South Asian country&#8217;s mobile market has become increasingly competitive in recent years, and experts believe the Idea merger is one way of seeing off competition from a new operator, Reliance Jio.</p>
<p>Aditya Birla group chairman Kumar Mangalam Birla said: &#8220;For Idea shareholders and lenders who have supported us thus far, this transaction is highly accretive, and Idea and Vodafone will together create a very valuable company given our complementary strengths.&#8221;</p>
			<div style="padding-bottom:15px;" class="wordads-tag" data-slot-type="belowpost">
				<div id="atatags-dynamic-belowpost-68ed3b7b81220">
					<script type="text/javascript">
						window.getAdSnippetCallback = function () {
							if ( false === ( window.isWatlV1 ?? false ) ) {
								// Use Aditude scripts.
								window.tudeMappings = window.tudeMappings || [];
								window.tudeMappings.push( {
									divId: 'atatags-dynamic-belowpost-68ed3b7b81220',
									format: 'belowpost',
								} );
							}
						}

						if ( document.readyState === 'loading' ) {
							document.addEventListener( 'DOMContentLoaded', window.getAdSnippetCallback );
						} else {
							window.getAdSnippetCallback();
						}
					</script>
				</div>
			</div>
Discover more from London Glossy Post
Subscribe to get the latest posts sent to your email.
