Indian telco Reliance Communications (RCOM) has received regulatory approval for the planned initial public offering (IPO) of its tower unit, Reliance Infratel, Reuters reports. According to the report no details were released regarding the timeframe for the offering, although an RCOM spokesman did confirm that the Securities and Exchange Board of India (SEBI) had approved the proposals.
RCOM first unveiled plans for the IPO in February 2008, but these were swiftly shelved in response to the global economic slowdown. In September 2009 the company however revealed it was readying a new prospectus to submit to the SEBI, and it was reported 10% of the equity in Infratel would be offered to investors; following the mooted IPO RCOM is expected to retain an 85% share in the infrastructure provider.