Tata Communications, a unit of the Tata Group conglomerate, might be planning to bid for UK-based Cable & Wireless Worldwide Plc and will announce its decision in the coming weeks, according to a source close to the matter.

Tata Communications has reportedly appointed Standard Chartered as an adviser for the acquisition. Cable & Wireless Worldwide has a market value of $1.2 billion and has wideranging assets including UK's largest core fiber network and an international enterprise unit.

The indications about a possible bid from Tata come after recent reports suggested that British telecom giant Vodafone might be interested in acquiring the company. Vodafone has said that it is too early in the process to comment on the merits of acquiring Cable & Wireless. Both Tata Communications and Cable & Wireless did not offer any comments on the reports.

The shares of Tata Communications rose four per cent in early morning trade following reports that the company is planning to acquire the UK based company. The company's shares were trading at Rs 242 at the Bombay Stock Exchange (BSE) this morning.