BUZZ-Norway's Telenor rise on media report of potential India sale

** Telenor (LSE: 0G8C.L - news) shares rise 2.8 pct at 11.34 GMT vs 0.5 pct drop in the Oslo benchmark index and a 2.4 pct fall in the European telecoms index

** Vodafone emerges as frontrunner for buying the Norwegian firm's Indian business, The Economic Times of India reports on Wednesday, citing two anonymous sources

** The paper says it's not clear if the deal will be restricted to the spectrum or include the company as well, but that they agreed that the airwaves in the 1800 MHz band that can be used to carry 4G will be valued at roughly $1 billion

** SEB (LSE: 0MGS.L - news) analyst Fredrik Thoresen tells Reuters that the report is the main driver behind Wednesday's positive share price reaction

** Thoresen says he thinks the firm potentially will leave India before the spectrum auction in August/September, and that the price tag is in line with the brokerage's estimates

** Telenor declined to comment on the rumours

(RM (LSE: RM.L - news) : henrik.stolen.thomsonreuters.com@reuters.net)