Report: BT to sell Tech Mahindra stake

The British telecoms company is looking to sell about 5 percent of its 23 percent stake in the Indian company for about US$100 million.

BT is looking to offload 5 percent of its stake in Indian IT services provider Tech Mahindra for some US$100 million, with JPMorgan Chase and Credit Suisse advising the sale.

Citing two unnamed sources, the Economic Times reported on Wednesday the British telecoms company will look to sell the shares in the price range of INR 735 (US$13.20) to INR 790 rupees (US$14.19) each, which is lower than Wednesday's closing price of INR 834.90 (US$14.98).

JPMorgan Chase and Credit Suisses are advising the company on the sale proceedings and the shares could change hands on the Indian stock exchange via block deals on Thursday, the sources added.

BT has relied on deep cost cuts to lift its earnings by 2 percent in the first quarter, and owned 23 percent stake in Tech Mahindra as of end June, the report noted.

The Indian IT services company on Wednesday was reported to be interested in buying Comviva Technologies from the Bharti conglomerate for INR 7.5 billion (US$134.5 million).

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