Morgan Stanley upgrades Reliance Comm to 'overweight'
Posted on: 09:42 AM IST Apr 09, 2013
Mumbai: Morgan Stanley upgrades Reliance Communications Ltd to "overweight" from "equal-weight" on the back of the company's Rs 12 billion fiber optic network sharing deal with the telecom unit of Reliance Industries Ltd.
The investment bank raises its fiscal 2014 earnings estimates for Reliance Comm by 125 per cent as a result of the deal and says additional deals could cut net debt by Rs 77 billion.
"We see attractive valuation with limited downside," Morgan Stanley says in a report dated April 8.