Pearson sells stake in India's Business Standard

MUMBAI, April 18 (Reuters) - Financial Times publisher Pearson (PSON.L: Quote, Profile, Research, Stock Buzz) has sold its 13.85 percent stake in Indian business daily Business Standard for an undisclosed sum, the Indian newspaper said on Friday.

The stake was sold to Infina Finance Pvt Ltd, an associate of India's Kotak Mahindra Group, it said.

Business Standard and the FT have "realigned the licence agreement ... whereby Business Standard will continue to have access to FT content till the end of the year", the paper said in a note on its front page.

Pearson, whose India business also includes Penguin Books and Pearson Education, said recently it would significantly increase investment in the fast-growing economy over the next three years.

Revenue for newspapers in India grew 17 percent in 2007, according to estimates by PricewaterHouseCoopers, and some local media reports have indicated that Pearson may seal a deal with a new venture partner for its Financial Times daily.

Foreign firms can own up to 26 percent in Indian newspapers. (Reporting by Rina Chandran; Editing by John Mair)