Singapore's Changi Airports Group is in talks to buy a 26% stake in the airport business of India's GVK Power & Infrastructure Ltd, a newspaper reported.

Changi, which operates Singapore's international airport, is likely to pay between Rs 2,000 crore and Rs 2,200 crore for the stake, the paper reported on Monday.

At the top end of that range, GVK's overall airport business would be worth about Rs 8,000 crore.

GVK's shares were up 6.4% at Rs 11.70 in early trading after rising as much as 18%.

"The deal is in the final stages, and an announcement is likely to be made in January," the newspaper quoted a person familiar with the situation as saying.

Sources said last week that GVK has been looking to raise up to $500 million to retire debt and fund operations by selling a minority stake in its Australian unit. The company said in September it would pay $1.26 billion to buy a majority stake in three Australian coal projects.

GVK has total debt of about Rs 5,000 crore, the newspaper said. A company spokesman declined to comment on the debt or on the reported negotiations.

GVK owns 50.5% of Mumbai's airport and 43% of Bangalore's airport, and it operates both.

It also holds the first right of refusal to develop a planned international airport at Navi Mumbai, for which bids are expected to be invited next year.