In a major acquisition deal, Sunil Mittal-promoted Bharti Group on Monday entered into an agreement with Shyam Group to acquire its entire 67.5 per cent stake in Hexacom, a cellular operator in Rajasthan, for a consideration of Rs 430 crore (Rs 4.30 billion).

According to sources, the two companies have signed an agreement to this effect and the deal would be subject to third partner TCIL's approval. State-owned TCIL has the first right of refusal.

The move comes just weeks after Bharti made a pitch to acquire Canadian company TIW's about 27 per cent stake in Hexacom but lost out to Shyam which exercised its first right of refusal to acquire the Canadian major's equity.

Bharti, whose footprint spans virtually the entire country, had applied for and subsequently received new unified access licence for five circles including UP (East), West Bengal and Orissa; it also received a letter of intent for Rajasthan circle.

Last week, the company said it would decide by mid April on whether to convert its existing LoI into a licence or acquire stake in existing cellular operator Hexacom, to launch its GSM based cellular service in the circle.

Shyam Group, which also offers CDMA-based telecom services, would now concentrate on services like fixed wireline, broadband and telecom equipment manufacturing.