Reliance Communications raises Rs 4,808 crore; sells 338 million shares to institutions

NEW DELHI: Reliance Communications on Friday said it has raised Rs 4,808 crore by selling over 338 million shares at Rs 142.14 each to institutions, which will help the mobile phone operator reduce its debt.

The Anil Ambani-headed company raised another Rs 1,300 crore by a preferential issue of warrants to promoters at Rs 150 a unit. The company's founders will pay 50%, or around Rs 650 crore, up front and the remaining half by March 31, 2015, RCOM had said earlier.

However, the promoters intend to pay up the balance before this due date. Shares of India’s fourth largest telco closed 0.3% down at Rs 145.5 on the Bombay Stock Exchange Friday.

RCOM had begun the share sale late on June 24 and closed it early next day after receiving bids worth over Rs 12,000 crore from mainly long-term US funds.