Aditya Birla Group to increase equity stake in Idea
10th April, 2006
The Aditya Birla Group has accepted the offer made by the Tata Group, and will acquire its entire holding of 48.14 per cent in Idea Cellular Ltd for a total consideration of approximately Rs. 4406 crore. Of this 48.14 per cent holding, 15 per cent will be acquired by Aditya Birla Nuvo Ltd. and its subsidiaries, and the balance by Birla TMT Holdings Pvt. Ltd. This will take the combined holding of the Aditya Birla Group companies to 98.3 per cent.
However, Birla TMT Holdings intends to place on the same terms, the equity acquired by it, to financial investors. This would bring the combined holdings of the Aditya Birla Group companies to over 65 per cent.
The transaction will be subject to necessary approvals.