Reliance Communications rose 5.46% to Rs 56.95 at 15:18 IST on BSE after the company said that the Department of Telecommunications has approved the proposed spectrum arrangements between the company and Reliance Jio Infocomm.
The announcement was made during trading hours today, 22 April 2016.
Meanwhile, the BSE Sensex was down 46.03 points, or 0.18%, to 25,834.35 .
On BSE, so far 49.01 lakh shares were traded in the counter, compared with an average volume of 19.42 lakh shares in the past one quarter. The stock hit a high of Rs 57.80 and a low of Rs 53.45 so far during the day. The stock hit a 52-week high of Rs 91.80 on 1 January 2016. The stock hit a 52-week low of Rs 45.65 on 25 August 2015. The stock had outperformed the market over the past one month till 21 April 2016, rising 3.55% compared with 2.35% rise in the Sensex. The scrip had, however, underperformed the market in past one quarter, falling 18.43% as against Sensex's 8% rise.
The large-cap company has an equity capital of Rs 1244.49 crore. Face value per share is Rs 5.
Reliance Communications (RCom) said that the Department of Telecommunications (DoT) has taken on record 800 megahertz (MHz) spectrum sharing in 7 circles of RCom and 2 circles of Reliance Telecom (RTL), a wholly-owned subsidiary with Reliance Jio Infocomm (RJIL) on 21 April 2016. The company and RTL are now able to share spectrum with RJIL in 9 circles viz. Mumbai, Uttar Pradesh (E), Madhya Pradesh, Bihar, Orrisa, Haryana, Himachal Pradesh, Assam and North East, RCom said in a statement.
Earlier in January this year, RCom announced entering into strategic partnership with RJIL covering 4G Lte services. RJIL, a telecom arm of Reliance Industries (RIL) and RCom announced the signing of agreements for change in spectrum allotment in 800 MHz band across 9 circles from RCom to RJIL, and for sharing of spectrum in 800 MHz band across 17 circles. Both companies also intend to enter into reciprocal Intra Circle Roaming (ICR) arrangements. The spectrum arrangements between RJIL and RCOM will result in network synergies, enhanced network capacity and will optimise spectrum utilisation and capex efficiencies. Both operators anticipate considerable savings in operating costs and future investment in networks. RCom's customers will benefit from access to RJIL's nationwide 4G LTE network under the reciprocal sharing and ICR agreements.
On consolidated basis, RCom's net profit fell 14.9% to Rs 171 crore on 2.4% drop in net sales to Rs 5232 crore in Q3 December 2015 over Q3 December 2014.
RCom is an integrated telecommunications service provider.
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