‘Reliance Comm in talks for unit stake sale’

Reliance Communications Ltd. is in advanced talks with American Tower Corp. to sell a strategic stake of up to 21 pct in its telecoms towers unit.Reliance Communications is looking at a valuation of at least Rs 350 billion ($8.7 billion) for the business, the source said.

On July 19, the company said it had sold a 5 percent stake in the unit, Reliance Telecom Infrastructure Ltd. (RTIL), to seven institutional investors for Rs 14 billion , which valued the unit at Rs 270 billion.

“This time it will be a strategic investor. And American Tower seems to be very much interested. Reliance Communications is in talks to sell 15 percent or 21 percent in the towers business,” the source said, adding the deal could be announced in one to 1-½ months.

After announcing the 5 percent stake sale in July, Reliance Communications Chairman Anil Ambani said further stakes in the tower unit could be sold through an IPO or further placements.