Vodafone offers to buy out Hutchison Telecom's stake in India's Hutch-Essar at an enterprise value of $17 to 18 billion, reports British daily Financial Times.
According to the report in the FT's online edition: "Vodafone on Wednesday faced a new rival in its drive to win control of Hutchison-Essar after a minority shareholder (Essar) turned the battle for control of the Indian mobile operator into a three-way fight."
Vodafone also submitted an offer to HTIL for Hutchison Essar, valuing the company at $17 to18 billion, the FT report said. The British company could set aside another $2 billion as part of extra costs associated with the deal, it added.
Meanwhile, a report in The Times said the two brothers -- Shashi Ruia and Ravi Ruia -- chairman and vice-chairman of Essar respectively, differ on whether to sell their 33 per cent stake in Hutch-Essar or stay invested.
Incidentally, Ravi Ruia was in Hong Kong earlier this week, presumably to hold talks with HTIL on the issue.
Vodafone CEO Arun Sarin was in Hong Kong recently in connection with the UK-based company's bid.
Another British daily The Telegraph reported that Essar is believed to have received a line of credit for $10 billion from Morgan Stanley and Citibank to fund the bid.
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