<b>Hutch-Essar</b>:HTIL files caveat to counter RoFR

Hutchison Telecom International (HTIL) has filed a caveat before the Bombay High Court to ensure that its plea is heard in case Essar moves the court, challenging the foreign partner's decision to sell stake to Vodafone.

Essar, which is a 33% stakeholder in mobile joint venture Hutch-Essar, has been claiming that they have the first right of refusal (RoFR) for HTIL's stake.

HTIL had recently agreed to sell its 67% stake in the Indian business to UK's Vodafone, side-stepping Essar.

While a HTIL spokesperson declined to comment, an Essar spokesperson was silent both on the caveat as well as on the ongoing talks with Vodafone.

However, on the issue of RoFR, the Essar spokesperson said: "We are keeping all our options open and have not yet taken a decision." HTIL's shareholders will on March 9 vote on Vodafone's offer to buyout the Hong Kong company's 67 % stake for $11.1 billion.

HTIL has been maintaining that Essar does not have RoFR in the event of sale to Vodafone, which is also of the same view.

However, Essar thinks otherwise and is believed to have raised the issue when Vodafone CEO Arun Sarin was in India last month.