Vodafone Group PLC on Thursday said it will sell a further amount of shares in Indus Tower Ltd, a mobile phone tower joint venture in India to Bharti Airtel Ltd, which will reduce the group’s holding to 21%.

The Newbury, Berkshire-based telecommunications provider has steadily reduced its holdings of mobile phone mast assets. Last March, it spun off Germany-based Vantage Towers AG as a separately listed company in Frankfurt.

In February, Vodafone had launched a placing of 63.3 million Indus shares, a 2.4% stake, at ₹226.84 each, generating net proceeds of ₹14.2 billion, around $189 million.

Now, the group will sell up to 127.1 million shares, a 4.7% stake, at a price that will be the lower of the placing price minus the broker fees associated with the placing, resulting in a price of ₹224.58 each, totalling ₹28.54 billion, around $376.1 million.

Should the sale go through, Vodafone will retain 567.2 million shares, reflecting a 21% shareholding, down from 28.1% last month. The UK company remains in discussions with several interested parties for the sale of the remaining shareholding.

Shares in Indus Towers closed 2.3% higher at ₹211.90 on Thursday in Bombay, It has a market cap of about ₹570.64 billion, around $7.52 billion, meaning Vodafone’s remaining 21% stake is worth about $1.58 billion.

Shares in Vodafone were down 1.1% at 128.42 pence on Thursday afternoon in London.

The money raise from the first two Indus share sales will go toward Vodafone’s contribution to a planned capital raise by Indian mobile operator Vodafone Idea Ltd. Of the ₹45 billion, about $600 million, raise, Vodafone will contribute ₹33.75 billion.

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