The details about the transaction are not currently known. It is learnt that the transfer to a separate firm will help the $11 billion Shinawatra group focus on its core businesses globally. This will help the Thailand company free itself from all commitments with the Hinduja group.

When contacted, Hinduja Group India Ltd group vice president (telecom) KV Seshasayee confirmed the move, saying: "The Shinawatra group, as part of a restructuring exercise, had transferred Shinawatra International's stake to Infocell which will have paging and cellular businesses." However, he did not comment on the latest developments regarding the offloading of stakes in the cellular project.

Industry sources say this development is part of Shinawatra's exit strategy from the cellular business in India. Recently, Bank America Securities, the merchant banking arm of Bank of America, bagged the mandate to find suitors for Infocell's 33 per cent stake in Fascel.

It is believed that Infocell officials were concerned about the earlier exercise undertaken by the Hindujas to sell Infocell's stake in Fascel to a buyer in the country or abroad. Hindujas, it is learnt, were in advanced stages of discussions with Hutchison Whampoa of Hong Kong to sell the stake at a premium.

As per the present structure, the Hinduja group holds a 32.25 per cent stake, Infocell 33 per cent, HFCL 7.75 per cent, Kotak Mahindra Finance 11 per cent and Bezeq of Israel 16 per cent, in the Rs 500 crore equity capital of Fascel. Fascel has a customer-base of about 1.2 lakh in the Gujarat circle, it is learnt.

Since the parleys between Hindujas and Infocell did not reach any conclusion till May 31, the Thailand company had decided to appoint its own advisor to find a strategic partner. Currently, talks are on with leading cellular companies like Birla-AT&T and Tata combine, Escotel and Hutchison, industry sources said here on Thursday.

"Infocell was looking at a higher price for selling its stake in Fascel. This was mainly due to the increase in Fascel's subscriber base and total change in the domestic cell market. But the Hindujas were not willing to offer much to Infocell," an analyst said.

As per the plan, an overseas firm will buy 33 per cent equity of Infocell and a part of equity stake from HFCL spending over Rs 300 crore. Later, these stakes will be sold to the strategic partner.