Monday, Jun 28, 2010
DOW JONES NEWSWIRES
Saudi Telecom Co. (7010.SA) could take a 10%-15% stake in a merged GTL Infrastructure Ltd. (532775.BY), Reliance Infratel entity, the Business Standard reported on its website Tuesday, citing sources with direct knowledge of the developments.
The merged entity is likely to dilute such a stake to a strategic investor at an equity value of $9 billion once the deal nears completion in November, the website reported the sources as saying. The stake would be at a minimum 20%-25% premium to the market price at the time, they said.
Carlyle, Blackstone and Abu Dhabi Investment Corp. have also shown interest in investing in the venture, the website reported.
Neither Saudi Telecom nor Abu Dhabi Investment responded to emails, the website said.
Standard Chartered and SBI Caps will underwrite the Reliance Infratel-GTL tower deal, committing close to $4 billion, the website reported. At least one more foreign bank is likely to join the funding, it said, citing two independent sources involved in the negotiations.
Full story: http://www.business-standard.com/india/news/saudi-tele-may-take-stake-in-gtl-rcom-entity/399774/.
(END) Dow Jones Newswires
28-06-10 2340GMT
