India's Bharti Airtel stock surges on Tata mobile unit deal

[caption id="attachment_424" align="alignright" width="300"] bharti airtel office vasant kunj ;10/08/2012;new delhi;photo:pradeep gaur/mint[/caption]

MUMBAI (Reuters) - India’s Bharti Airtel Ltd saw its share price surge as much as 8 percent in early Friday trade as investors cheered its purchase of Tata Group’s mobile arm, in a deal that secures 40 million new clients and spectrum at little cost.

The deal with Tata Teleservices Ltd “is a sweet one for Bharti,” local brokerage Kotak said in research note, raising its recommendation on Bharti stock to “add” from “reduce.”

Bharti shares were up 6.6 percent at 0435 GMT, outpacing the broader NSE index’s 0.5 percent. Shares of Tata Teleservices (Maharashtra) Ltd, a Tata Teleservices unit, were up 9.1 percent.

More here