India's Reliance Plans More Stake Sale In Tower Operations - Source

NEW DELHI -(Dow Jones)- Indian telecommunications services provider Reliance Communications plans to sell up an additional 26% stake in its telecom tower business unit Reliance Telecom Infrastructure, a person with knowledge of the matter said Monday.

Last week, Reliance Communications sold a 5% equity stake in its tower business to a clutch of foreign investors for $337.5 million in a deal valuing the tower unit at $6.75 billion.

"The company may look at getting a 20%-30% premium to the valuation as the quantum of the stake that may be sold is higher in this case," the person, who declined to be named, said.

The person also said that U.S.-based American Tower's chairman, James Taiclet, who is currently touring India, is likely to meet Reliance Communications Chairman Anil Ambani about the stake sale.

-By Shaleen Agrawal, Dow Jones Newswires; 91-11-23074020; shaleen.agrawal@dowjones.com

-Edited by Marissa Chew

(END) Dow Jones Newswires
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Posted to the site on 23rd July 2007