RCL gets nod to hive off towers business

Anil Ambani-controlled Reliance Communications (RCL) on Saturday said it has received the shareholders' nod for demerging its telecom infrastructure business into new entity Reliance Telecom Infrastructure (RTIL).

Under the scheme of demerger RCom will transfer its existing 12,000 wireless towers belonging to the code division multiple access (CDMA) as well as to the global system for mobile communication (GSM) service and allied infrastructure to the new entity. Besides, post demerger the setting up of new towers and infrastructure development will be done through RTIL.

"The equity shareholders of RComm met yesterday and approved a scheme of transfer of the existing wireless towers and related infrastructure of the company to its subsidiary," the company said in a statement.