Reliance Communications on Monday said that it is waiting for regulatory clarity on the spectrum guidelines before it goes ahead with the deal to sell its tower unit.
The company said that it is in advanced stage of talks with the potential customers and is looking towards government stand on the issue and once the clarity emerges on various pending regulatory issues, then transaction will proceed further.
"We continue to engage with potential investors in order to complete the transaction and DoT and Trai are working on issues related with spectrum auctions and licensing guidelines," Reliance Communications (RCom) President Punit Garg said on an analyst call.
Rcom is looking to measures to reduce its debt burden of around Rs 35,840 crore through several routes including selling a 95% stake in its tower company Reliance Infratel.
The company is believed to be in talks with US based firms Blackstone and Carlyle for stake sale but a deal is yet to be finalised.
Sector regulator Trai, in its latest recommendations had proposed to bring tower companies like Rel Infratel under the unified licencing regime, implying that all tower providers would have to shell out 8% of annual revenues as licence fee. At present, these infrastructure provider do not pay any fee to the government.
"We are constructively engaged in the consultation process and we do hope that the outcome is going to be forward looking and positive for both, the consumer and the telecom sector. We look forward for a level-playing field with equality for all operators and thus removing distortions in various areas in the past," Garg said.
Rcom announced an increase in profits in 11 quarters when it announced a consolidated profit of Rs 332 crore for the fourth quarter, up from Rs 168 crore in the same quarter the year before.
The telco's revenue was around Rs 5,310 crore in the fourth quarter compared to Rs 7,898 crore in the same period last fiscal.
Garg added that RCom would spend Rs 1,500 crore capex.