RCom calling off tie-up talks with MTN

Reliance Communications called off tie-up talks with South Africa's MTN Group.
The company announced the calling off the tie-up talks on Saturday, 19 July 2008.
The stock hit a high of Rs 450 and a low of Rs 432 so far during the day. The stock had a 52-week high of Rs 844 on 10 Janaury 2008 and a 52-week low of Rs 381.05 on 3 July 2007.
The company has an equity capital of Rs 1,032.01 crore. Face value per share is Rs 5.
The current price of Rs 444.50 discounts its Q1 June 2008 annualised EPS of Rs 9.91, by a PE multiple of 44.85.
Reliance Communication (RCom) announced to BSE that owing to certain legal and regulatory issues, the company is presently unable to conclude a transaction. Accordingly the two firms have mutually decided to allow the exclusivity agreement for tie-up talks to lapse.
MTN and Reliance Communications had agreed on 9 July 2008 to extend their merger talks until 21 July 2008 in a bid to reach an agreement.
Recent reports said RCom had received a notice for arbitration from Reliance Industries (RIL) over the company's merger talks with South Africa's MTN Group. RIL had earlier claimed a first right of refusal for acquiring controlling stake in RCom.
Reliance Communication (RCom)’s consolidated net profit jumped 47% to Rs 1503.26 crore on 36% growth in sales to Rs 5250.01 crore in Q4 March 2008 over Q4 March 2007.
RCom provides telecommunication services. The company provides wireless, wire line, voice, data and Internet communication services