Vodafone Group solidified plans to become a bigger player in India's mobile market, saying on Wednesday it would submit a formal bid to buy the country's fourth-largest carrier, Hutchison Essar.
Chief executive Arun Sarin said after meeting Trade Minister Kamal Nath that a formal offer to boost Vodafone's business in the world's fastest-growing major mobile phone market was, however, not likely this month.
"It is some weeks away," he told reporters in New Delhi, adding it would be later than the end of January. He was due to meet Telecom Minister Dayanidhi Maran later.
Brokers have valued the takeover target at up to $20 billion and Vodafone, if it were to win control, would have nearly 16 percent share in the rapidly growing market of at least 147 million mobile users.
The UK mobile giant is one of several bidders, including Reliance Communications, India's second largest mobile operator, who are seeking control of unlisted Hutchison Essar. The smaller GSM carrier is 67 percent owned by Hong Kong's Hutchison Telecommunications and 33 per cent owned by India's Essar group.
Mr Nath told reporters that any takeover bid should be in the interest of all stakeholders.
"These kind of takeovers should involve best commercial practices and be in the interest of all stakeholders involved," he said.
Other bidders include India's Hinduja group and Essar itself.