RCom seeks approval to increase share capital

Looks at meeting its growth objectives by issuing securities and increasing authorised share capital to Rs 2,500 cr

Debt-laden telecom carrier Reliance Communications is seeking shareholders' approval to increase its authorised share capital to Rs 2,500 crore from Rs 1,500 crore currently, it said in a notice for its annual general meeting.

"The company, in order to meet its growth objectives and to strengthen its financial position, may be required to generate long term resources by issuing securities," Reliance Communications said.

"It is therefore deemed appropriate to increase the authorised share capital of the company."

The company will also seek approval of shareholders to issue securities to qualified institutional buyers in its annual general meeting, scheduled for September 4.

 

It sought similar approvals for securities issues to funds in the past two fiscal years, but has not sold any share.