Reliance Industries to buy Anant Nahata Infotel, offer broadband services

Reliance Industries has acquired a 95% stake in Infotel, the one player that's won a pan-India licence for broadband wireless access spectrum in the auction.

The surprise development came a fortnight after the Ambani brothers, Mukesh and Anil, entered into an “environment of harmony” agreement that virtually allowed their groups to enter any business they desired, ending a previous non-compete agreement. 

“Reliance Industries will invest about Rs.4,800 crore by way of subscription to fresh equity capital at par to be issued by Infotel Broadband that has emerged as a successful bidder in the auction of broadband spectrum,” the $44.6 billion group said. 

Commenting on the same, Infotel Promoter Ananth Nahata says,"When the bid (BWA auction) prices started becoming high, we realised that we need to talk to a strategic partner. So we were talking to Reliance somewhere in between the auction. So it’s not something, which has happened in one day."

 


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