Riding high on the Hutch-Essar win, Vodafone CEO Arun Sarin will visit India on Wednesday to pursue completion of the deal, ahead of which he would meet Telecom Minister Dayanidhi Maran in Barcelona on Tuesday.
Maran is scheduled to attend the 3GSM World Congress in Spain, where Sarin is expected to meet the minister and discuss Vodafone's plans for its India operations.
The India-born CEO of Vodafone, which has agreed to sell 5.6 per cent direct stake it holds in Indian mobile leader Bharti Airtel to the Group, is also likely to meet Bharti Group chairman Sunil Mittal in Barcelona.
Ahead of his India visit, Sarin told analysts during a Web cast on Monday that the company would offer to buyout Essar, which holds 33 per cent stake, from the venture.
"Essar's option is time-limited. It will take us couple of weeks to make an offer to Essar on equivalent terms as HTIL and they have to decide whether to sell or stay (as) partners," Sarin said.
Sarin is also expected to hold parleys with various stakeholders when he visits the national capital to give further shape to the transaction that would cost Vodafone about $11 billion in cash.
However, there was no official confirmation on the visit. Sarin has said it has offered to buyout Essar, the Ruias-promoted group has said it has been offered a partnership by the British giant.
Sarin said: "Essar may take 5-6 weeks to respond to this offer and if they do not want to remain partners in long term with us we will have to look for another partner for the 33 per cent stake in Hutch Essar."
Responding to another query, Sarin said: "We would like a strong 33 per cent partner in India."
The current agreement with Hutchison Telecom provides Essar tag along rights in the event of Hutchison opting out of the venture.
Only last month, Vodafone CEO Arun Sarin had termed Essar as a "natural partner" by virtue of its stake in Hutch-Essar.
However, the UK giant has now clearly stated that it wants to buy out Essar's stake, while adding that HTIL's existing partners, who between them hold a 15 per cent stake in HEL, have agreed to retain their holding and become partners.
Incidentally, Essar Group vice chairman Ravi Ruia and managing director Prashant Ruia were in London when Vodafone announced it had agreed to buy Hong Kong-based Hutchison Telecom's stake in the Indian venture for $11.08 billion plus $2 billion in debt.
The two Ruias will return to India this evening, in time for crucial discussions with the group's top brass including chairman Sashi Ruia to evaluate options available to the group.
Regarding the foreign direct investment guidelines in the Indian telecom sector Sarin said: "We have plans in place that would satisfy the FDI regulations."
On spectrum in India he said, the amount of spectrum available in the country is limited so it is not so easy for new players.
