Europe's largest entertainment group, Vivendi, that has telecom operations in France, Morocco and Brazil is said to be in talks with Reliance Communications to buy a 26 per cent stake, media reported on Wednesday.
It is believed that Vivendi was in talks with RCom for a month and the discussions were in the advanced stage now.
Once the deal is finalized, Reliance will issue new shares to Vivendi and the French company would make an open offer to acquire 20 per cent stake in the Indian firm. RCom burdened by debt and the cost of rolling out 3G services, decided to offload stake early this month.
There were speculations that the company is in talks with AT&T Inc. and South African major, MTN. However, both the firms denied such discussions. Abu Dhabi's Etisalat also was evaluating options for a deal with any Indian firm.
Source: RTT News