AT&T In Talks With Reliance Communications For Minority Stake [REPORT]

A&T and Reliance Communications Ltd. are in talks for potential equity transaction.  The transaction would involve AT&T buying a 26% minority stake in Reliance.  However the discussion is at very early stages.
Anil Ambani, the billionaire behind Reliance Communications said that the board has approved a sale today to sell stake in order to raise cash for paying debt and to upgrade networks. Reliance Communications has 105 million subscribers and a market cap of $7.4 billion.  One of the reasons why AT&T is interested in investing with Reliance is because India has about 600 million wireless customers and adding 17 million new customers every month.

To help with Reliance’s pitch to AT&T, the company said that they can handle GSM networks, which is what the iPhone runs on.  In the past, Reliance could only handle CDMA technology.


This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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