RCom gains on tower unit sale buzz

Anil Ambani -controlled Reliance Communications gained 2 per cent in morning trade on Wednesday amid media reports that US-based private equity firms TPG Capital and Carlyle Group are in talks to buy a stake in the company's tower unit, Reliance Infratel.

Shares of the company rose by 2 per cent to touch an early high of Rs 93.90 on the BSE, while on the NSE, the stock touched a peak of Rs 93.90, up 2 per cent from the previous close.

On the volume front, over 23 lakh shares of the company changed hands on the bourses in the morning session.

According to media reports, Reliance Communications has also received interest from Blackstone Group and London-based Apax Partners.

Last month, RCom said it is evaluating offers from several parties for a controlling stake in its tower infrastructure arm, Reliance Infratel.

Reliance Infratel is a subsidiary of Reliance Communications and is engaged in the business of building and operating communications towers, optical fibre cables and other related assets at designated sites.

RCom, through its various subsidiaries, held 95 per cent stake in Reliance Infratel and the remaining is held by various international financial investors, including HSBC Principal Investments, Galleon Group, New Silk Route and Quantum Fund (George Soros).

Meanwhile, the BSE key index Sensex was trading flat at 18,470.38 at 11.20 hours.