In a bid to participate in the upcoming 3-G and Wimax auctions, India’s second largest telecom service provider, Reliance Communications, on Monday said it intends to issue equity shares to institutional investors to strengthen its financial position.
In a statement to the Bombay Stock Exchange, the company said that it will seek shareholders’ approval to garner funds from qualified institutional investors either through a share sale or an issue of a variety of instruments including fully convertible, partly convertible or non-convertible debentures with warrants or any other security. RComm said the funds would be raised in one or more tranches. The proposed exercise shall not result in increase in the company's paid-up capital by more than 25%.
RComm said the funds might be utilised to finance the company's plans to participate in the upcoming auction of frequency spectrum for 3-G and Wi-Max services.
In a statement to the Bombay Stock Exchange, the company said that it will seek shareholders’ approval to garner funds from qualified institutional investors either through a share sale or an issue of a variety of instruments including fully convertible, partly convertible or non-convertible debentures with warrants or any other security. RComm said the funds would be raised in one or more tranches. The proposed exercise shall not result in increase in the company's paid-up capital by more than 25%.
RComm said the funds might be utilised to finance the company's plans to participate in the upcoming auction of frequency spectrum for 3-G and Wi-Max services.
