Jun 11, 2013, 12.42 PM | Source: Reuters
Standard Chartered downgraded Reliance Communications rating to 'underperform' from 'in-line'. It feels that the risks from the tower sharing deal exist from the pace of the ramp-up.
The Ambani brothers signed a long-expected pact on Friday for their rival telecoms firms to share mobile masts in a contract valued at more than USD 2 billion over several years -- the biggest deal between them since reconciliation.
Also read: RIL, RComm strike Rs 12,000cr tower pact
Standard Chartered says the Reliance Jio tower deal may add 17-22 rupees per share to Reliance Communications' valuations, although risks exist from the pace of the ramp-up.
Reliance Communications' shares have gained 50 percent in 2013 so far compared to India's benchmark index which was flat in the same period.
Axis Direct is bullish on Reliance Communications
Billionaire Anil Ambani-controlled Reliance Commun
Moody's placed under "review for downgrade" the cr