Reliance Infratel IPO - Issue Details

About Reliance InfratelThe Company is part of the Reliance Anil Dhirubhai Ambani group and its business is to build, own and operate telecommunication towers and related assets at designated sites and to provide these passive telecommunication infrastructure assets on a shared basis to wireless service providers and other communications service providers under long-term contracts.These customers use the space on the Company’s telecommunication towers to install their active communication-related equipment to operate their wireless communications networks.About Reliance Infratel IPO IssueReliance Communications Ltd has announced that the Reliance Infratel Ltd, (the “Company”), subsidiary of the Company proposes an initial public offering of 8,91,64,100 Equity Shares of Rs 5 each (”Equity Shares”) for cash at a premium (the “issue”) to be decided through the 100% book building process. The Issue will constitute 10.05% of the post-Issue paid-upequity capital of the Company.DRHP with SEBIThe Company has filed its Draft Red Herring Prospectus (”DRHP”) with the Securities and Exchange Board of India (”SEBI”), on February 04, 2008.Issue AllocationQIB - 60 percent and Mutual Fund 5 percent out of it .Retail - 30 percentNon-Institutional Bidders - 10 percentIssue PurposeThe Issue proceeds are proposed to be utilized to finance the development of passive infrastructure sites and for general corporate purposes.