The three major stakeholders in the Hutchison Essar venture ?? Essar, Hutchison and Orascom -?? have joined the race for the 5.1 per cent equity held by the Hindujas. All the bids, including one from a government agency in the Middle East, are based on a valuation of the company at between Rs 360 billion and Rs 410 billion ($8-$9 billion). Hindujas TMT has received a total of four bids and the company’s board has referred the evaluation and assessment of the bids to one of its committees. Meanwhile, the Ministry of Company Affairs has said that Orascom should have mandatorily consulted its Indian joint venture partner, Essar, before signing the deal.
Orascom’s 19.3 per cent stake in Hutchison Telecom International Limited gives it a 12.19 per cent effective holding and board representation in Hutchison Essar.
