Vodafone-Idea deal faces Sebi questions

Regulator seeks details of determining acquisition share price, compliance with DoT regulations

The Securities and Exchange Board of India (Sebi) has sought an explanation from the Aditya Birla Group-promoted Idea Cellular over its proposed merger with Vodafone Plc’s Indian arm.

According to sources familiar with the development, the regulator has asked Idea to share details of the methodology through which the share price for acquisition was arrived at and whether such price discovery was in line with the listing regulations.

The regulator has also asked how Idea Cellular arrived at the pricing of shares for the merger with Vodafone. The move is aimed to ensure small investors have an opportunity to take