2 Apr 2011

Vodafone to buy out joint venture partner in India

10:55 am on 2 April 2011

Vodafone is to pay $US5 billion to the Essar Group to buy it out of a joint venture in India.

The decision to exercise its option to purchase Essar's 33% stake was widely expected.

The BBC reports Vodafone will then have 75% of the business.

However, Indian foreign ownership rules will force the company to reduce its holding to 74%.

According to a statement on Vodafone's website, the buyout will be completed by November.