Kuala Lumpur, April 16 (AFP): The Malaysian government’s investment arm is in talks to buy a stake in Idea Cellular, India's fifth-largest mobile operator, a financial weekly said. Negotiations have been under way for several months between Khazanah Nasional and the Aditya Birla group, which owns more than 98 per cent of Idea, the Edge Weekly said, quoting unnamed sources. Birla this month said it would acquire the Tata group’s 48.14 per cent stake in Idea, taking its holding to 98.3 per cent. Birla also said it would eventually reduce its shareholding to some 65 per cent by placing out shares to financial investors, which the weekly said would benefit Khazanah.

“Birla would prefer not to sell to another (mobile) operator. Khazanah would be a good bet for Birla as it is a financial investor with government links,” an analyst said.