Airtel to buy Vodafone UK's stake in Indus Towers? 'Not in any discussion'

This comes after it was reported that Bharti Airtel is in talks to buy UK-based Vodafone Group's 21.05% stake in Indus Towers.

Bharti Airtel said that it is "not in any discussion" to buy Vodafone UK's stake in Indus Towers. In a stock exchange filing, the company said, “We have no desire to raise its stake beyond what is required for financial consolidation of Indus in the Company, which shall be done as and when appropriate with compliance of applicable disclosure requirements.”

A Bharti Airtel office building is pictured in Gurugram on the outskirts of New Delhi. (Reuters)

This comes after it was reported that Bharti Airtel is in talks to buy UK-based Vodafone Group's 21.05% stake in Indus Towers. The move could potentially give it a controlling stake, Economic Times newspaper reported. Following the deal, the British carrier could infuse some of the proceeds into Vodafone Idea, the report claimed citing people in the know.

The Economic Times reported that discussions were stalled over valuation as Airtel was not willing to buy the stake at Indus Towers' current share price. The share price has climbed over 77% since January this year. The report also claimed that Airtel is looking for a valuation of 210-212 rupees per share - the level at which US private equity fund KKR (KKR.N), opens new tab and Canadian pension fund Canada Pension Plan Investment Board sold shares in Indus in February.

Sunil Mittal-led Airtel is Indus' largest shareholder with a 47.95% stake.

Airtel said, “Indus is a provider of critical infrastructure services to the telecom industry and Airtel relies heavily on it. Airtel will therefore always ensure that Indus remains in robust health and financially stable.”