Tata Sons on Tuesday said it has agreed to pay $1.18 billion (Rs 7,876 crore) to Japanese mobile operator NTT DoCoMo for transfer of the latter's shares to Tata Teleservices Ltd..

"The Board has agreed to pay $1.18 billion to DoCoMo as enforced by the London Court of International Arbitration on June 22, 2016 and withdraw objections to its award in India," Tata Sons, the Tata Group's holding firm, said in a statement here.

As both the parties have jointly applied to the Delhi High Court for settling their dispute, the settlement terms will be subject to its further orders.

Tata Sons has already deposited the amount with the Delhi High Court.

"As part of the joint application, DoCoMo has agreed to suspend its enforcement proceedings in Britain and the US for a period of time," added the statement.