Rel Comm gains 3% on tie-up talks

The stock finally ended nearly 3% down at Rs 296. The counter clocked a volume around 3.7 million shares
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Updated at 1224 Hrs

Reliance Communications has surged 4% on tie-up talks with China Mobile.

The stock opened at Rs 307 and gained 3.5% to a high of Rs 316. However, it slipped from the day's high and is now trading at Rs 311, 2% higher. The counter has clocked hefty volumes of 1.44 million shares so far on the BSE. The stock has recovered by 137% from its 52-week low of Rs 131, but is still 75% lower from its 52-week high of Rs 541.

The company has started talks with China Mobile, the world's largest mobile company, for strategic alliance and possible equity participation of 5 to 6 per cent. China Mobile has over 450 million subscribers while Reliance Communications has over 70 million. The Chinese telecom giant already has operations in Pakistan, Hong Kong and Taiwan.