Rcom receives 338 mn USD by selling 5 pc stakes in RTIL

Mumbai, Aug 8 (UNI) The Country's largest integrated telecom services company Reliance communications (Rcom) today said it has sold 5 percent equity shareholding in Reliance Telecom Infrastructure Limited (RTIL), at a valuation of Rs 27,000 crore (USD 6.75 billion).

The Company said it may also bid for an Initial Public Offer (IPO) or strategic sale for its remaining 95 percent stakes in RTIL, which is valued at USD 6.40 billion(Rs 26,000 crore)in order ''to pursue the opportunities to further unlock the value of RTIL''.

''RTIL, as an independent telecom infrastructure provider, has significant growth potential and is on track to become the leading player in India. RTIL will be listed in the future and provide investors another attractive opportunity to participate in India's incredible telecom growth.'', said Rcom Chairman Anil Ambani.

Seven companies, who bought the 5 percent stakes include Fortress Capital, HSBC Principal Investments, Galleon Group, New Silk Route, GLG Partners, Quantum Fund and DA Capital.

Following the transaction, Rcom received Rs 1,400 crore(USD 337.5 million) as sales proceeds and a capital gain of Rs 1,200 crore(USD 289 million).

The gains from the deal have been booked and will reflect in the Q2 results of Reliance communications group in current fiscal, said the company.

RTIL is an independent wireless telecommunications infrastructure company engaged in the business of building, owning and operating communications towers and related assets.

UNI