Axiata in talks to sell 5% Idea stake to PE players

Axiata is likely to be in talks with private equity players to sell up to 5% stake in Idea Cellular. It may have approached Warburg Pincus, Macquarie PE and StanChart PE with regards to this, reports CNBC-TV18 quoting sources.

Axiata holds 19.8% in Idea via TMI Mauritius and TMI India but may be looking at exiting the company on account of licence cancellations and penalties. Axiata bought Idea stake for Rs 100 per share in 2008 and may look at premium to Idea's current market price. This 5% stake sale would be a first step in the direction. CNBC-TV18 had earlier reported that the company may be looking at selling its stake in three tranches. "According to sources, Axiata is likely to sell 5.01% stake in the first tranche and seeks to bring its hold below 10% in the second tranche," the report dated April 15 had stated.