Tata Comm close to its high
Tata Communications is currently amongst the top three gainers of the day. Intra day, it rose over 8% to Rs.486, which was just inches away from its 52-week high of Rs.490.30 which it had last year, on 24th July 2015 to be more precise.
The stock is seeing this momentum today on the back of its announcement made today morning. The company has stated that Liquid Telecom, a pan-African telecoms group, majority owned by Econet Wireless Global, has entered into an agreement to acquire South African communications network operator Neotel.
Neotel is a subsidiary of the Company. The shareholders of Neotel have agreed for Liquid Telecom to acquire Neotel for Rs.2900 crore.
Liquid Telecom is partnering with Royal Bafokeng Holdings (RBH), a South African empowerment investment group, which has committed to take a 30% equity stake in Neotel.
Tata Communications had ended Q4Fy16 with a higher loss of Rs.205 crore v/s Rs.178 crore in previous Q4. This loss was mainly on account of the impairment of equity in Tata Teleservices.