Essar sells stake in India's Vodafone Essar

Mobile communications company Vodafone Group said its partners Essar Communications and ETHL Communications Holdings have sold their entire stake in Vodafone Essar, ending a four-year partnership in India. Vodafone will buy the 22% stake in Vodafone Essar held by Essar Communications's subsidiaries for a net total of $3.32bn, while for the remaining 11% stake, Vodafone will pay $1.26bn and settle all shareholder claims.The parties have agreed that all outstanding claims between them are terminated, and that all future claims have been renounced, Vodafone said. The companies have relinquished all of their board seats in Vodafone Essar.Following regulatory approval and subsequent closing of these transactions, Vodafone said it will own 74% of Vodafone Essar directly via its subsidiaries and the remaining 26% will be controlled by Indian shareholders.Shares of Vodafone ended 0.5% lower at 164.4p in London. AR