Reliance Communications plans to hive off its mobile telephony towers business into a new subsidiary, to be named Reliance Towers Limited. It will then offload a significant stake in the new entity to the US company American Towers, an independent owner and operator of wireless and communication sites. This will help Reliance to convert a recurring cost on the company’s balance sheet to a source of revenue. Reliance has 15,000 existing GSM and CDMA cell sites and targets setting up another 10,000 in the next 12-14 months.
