Rel Comm shortlists 4 merchant bankers for FLAG IPO

Reliance Communication has decided for overseas public offer for its international communication subsidiary FLAG Telecom, for which it has shortlisted four merchant bankers.

Sources said Goldman Sachs, Deutsche Bank, Morgan Stanley and UBS were shortlisted for the process, which would see RCOM divesting 10-15% equity.

FLAG Telecom will be listed on the London Stock Exchange. FLAG is a 100% subsidiary of Reliance Communication  .

The proceeds raised from the IPO will be used to part finance expansion plans announced last year, which include laying 50,000 km fresh undersea cable in regions where there is dearth of international bandwidth. The expansion plan could entail an investment of about 1.5 billion dollar (nearly Rs 7,000 crore).