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Telecom tower firm Viom Networks has roped in London-based STJ Advisors for a possible listing on the London Stock Exchange (LSE).
Apart from LSE, other overseas stock exchanges being explored include New York, Hong Kong and Singapore. It is looking at mopping nearly ₹1,500-2,000 crore from overseas listings.
STJ Advisors is an independent global capital markets advisory firm focused on advising issuers and financial sponsor or other controlling shareholders on all equity and debt market activities.
Credit Suisse, CitigroupAccording to people having knowledge of the matter, Credit Suisse and Citigroup have also been roped in as possible advisors.
“We will list Viom overseas. STJ Advisors have been roped in as advisors,” Sunil Kanoria, Vice-Chairman and Managing Director of Viom and Vice-Chairman and Non-Executive Director of SREI, told Business Line . The Centre allowed overseas listing of Indian companies in September 2013.
According to sources, Viom has been approached by investment bankers and the valuations are pegged anywhere between ₹22,000 crore and ₹27,000 crore.
“Listing is unlikely to take place till general elections are over,” Kanoria added.
Having reported maiden profits in 2012-13 (of around ₹78 crore), the company has been aggressively exploring capital raising opportunities to fund growth plans. It is also in talks for international tower management contracts.
Gurgaon-based Viom, with nearly 42,000 towers, is currently India’s second largest telecom tower company.
Stake saleKanoria, however, rubbished reports of any stake sale by SREI (in Viom).
About 46 per cent stake in Viom is held together by Srei Infrastructure and other PE investors that include the likes of IDFC Private Equity, SBI Macquarie, Oman Investment Fund and GIC of Singapore. The Kanorias of SREI own 18 per cent and control management of the company. The majority – 54 per cent – is with Tata Teleservices.
According to him, a dilution in stake will automatically happen post overseas listing.
“There are no immediate plans for any stake sale in Viom. Stake dilution might take place once we have listed the company,” he said.
Big IT exporters such as Infosys and Wipro are already listed both in India and the US.
Viom, if it lists overseas, will be amongst the first telecom tower companies globally to take such a route, market sources indicated.
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