Reliance confirms 26% stake sale plan

7 Jun 2010

Reliance Communications has revealed in a statement that the company’s board have approved selling up to a 26% stake to strategic or private equity investors. The cellco did not give any timeframe or details for a possible deal, but according to Reuters Etisalat, MTN and AT&T are potential partners. MTN has publicly denied that it is in talks with Reliance, while AT&T declined to comment on the rumours. Reliance – the only major Indian wireless operator without a foreign partner – is believed to be keen on selling the stake to help address its net debt, which stood at INR199 billion (USD4.2 billion) at the end of March. Last month it paid INR85.85 billion for 3G concessions.

India, Reliance Communications (RCOM)