The future of M&As and the role of Big Picture
Lawyering
The High Court of Bombay has just upheld the Indian Revenue
Department's jurisdiction to proceed against Vodafone on its
USD 11.1 billion acquisition of Hutchison's Indian telecom
operations back in February 2007. While this may sound like an
extract from the M&A doomsday prophesy, there is more to the
High Court's decision than meets the eye.
The story so far
By way of a quick recap, the story began when Netherlands-based
Vodafone International Holdings BV (Vodafone)
acquired Cayman-based CGP Investments from Hutchison
Telecommunication International Limited (Hutch)
also based in the Cayman Islands. CGP Investments held a number of
underlying subsidiaries in Mauritius, which along with certain
Indian companies, ultimately held a 67% (approx) stake in Hutchison
(now Vodafone) Essar Limited, one of largest players in the Indian
telecom industry.
