Reliance Communications (RCOM) has shortlisted bidders for the stake sale of its tower subsidiary, Reliance Infratel. The due diligence process has commenced and the interested parties will bid for up to 51 per cent stake in Reliance Infratel. The proceeds of the sale will go towards reducing RCOM’s debt of 2015-16.

According to the company, some of the short-listed bidders have expressed interest to acquire up to 100 per cent of RCOM’s stake in Reliance Infratel. RCOM is seeking a valuation of Rs 250 billion- Rs 300 billion for its tower arm. This includes debt of about Rs 80 billion to be transferred to the tower company once the stake sale is completed. UBS, Standard Chartered and SBI Capital Markets are the investment bankers involved in the process.

RCOM holds 96 per cent stake in Reliance Infratel, while the remaining is held by institutional investors. The tower company owns a total of 45,000 towers.