Bharti group CMD Sunil Mittal has said that he is open to Vodafone selling its shares in Bharti Airtel in the secondary markets. He would have no problems if Vodafone continues holding its 9.9% stake in Bharti Airtel even if it acquired a controlling stake in Hutchison Essar, but it would have to give up its slot on the Bharti Airtel board.

He maintained that “disengagement” talks with Vodafone are yet to start. “Once they give us a signal, we will engage in disengagement talks. A no-objection from us is not an issue. We are open to have a bigger float in the market,” Mr Mittal told reporters on the sidelines of a meeting organised by CII at the WEF’s annual meeting.

Talks for disengagement would begin only after something comes out of the Essar-Hutch deal, he said, adding that he would not have any problem if Vodafone continues to hold stake in Bharti. “There would be no conflict of interest since Vodafone would not be in management,” he said. “Vodafone is on the board, but doesn’t have management control in Bharti Airtel. They want their own brand in India, management and style of functioning. In the present framework, Bharti is unable to meet these aspirations, so they have started looking at other options in India,” he said.

Vodafone has about 9.9% in India’s largest mobile operator. The two companies have a non-compete clause in the agreement, and Vodafone has to seek Bharti’s permission before buying a stake in a rival company. Sources said Vodafone is likely to make a formal bid for acquiring a stake in Hutch Essar over the next few days.