Videocon could sell up to 49% for a good offer, founder says

12 Jan 2015

Videocon Group is willing to sell up to a 49% stake in its mobile business and even relinquish management control to the right buyer, Videocon founder and major shareholder Rajkumar Dhoot told press at the Vibrant Gujarat Summit, the Economic Times writes. The official is quoted as saying: ‘If we are given a good offer, we can give away [a] 49% stake in our mobile operating business. We are also ready to give them management control. We are also keen to participate in [the] upcoming spectrum auction for 4G Long Term Evolution (LTE).’ Videocon Telecom holds licences in seven circles but currently only operates in four – namely Gujarat, Haryana, Madhya Pradesh and Punjab – and CommsUpdate reported last week that its broadband arm, Quadrant Televentures, had upgraded its licence to a pan-India concession with a view to expanding its operations from Punjab to the three other circles where Videocon offers services. According to TeleGeography’s GlobalComms Database, Videocon represented less than 1% of India’s mobile subscribers at the end of September 2014, and is likely target for future consolidation in the crowded sector.