Reliance Infratel plans for an IPO
Reliance Infratel, a subsidiary of Reliance Communication, has decided to go for an IPO shortly as the company is willing to offer 10 per cent stake to the investors.
The board of directors of Reliance Communications passed the IPO proposal on Wednesday.
Mr. Anil Ambani, Chairperson Reliance Communications, at the company's annual general meeting announced that they are looking forward to offer 10 per cent Reliance Infratel’s equity to the investors through an IPO. However, the company will still hold 85 per cent of the company’s stake.
The telecom tower subsidiary has recently increased its capacity for multi-tenancy towers to 48,000.
Mr. Ambani said that the company had mounted over 35,000 towers in the past two years, and had become the largest supply base of plug and play telecom infrastructure.
He added that they had transferred their optical fiber division to Reliance Infratel.
The company will soon file a draft red Herring prospectus with market regulator Sebi (Securities and Exchange Board of India).