Spice Telecom to raise 300 million dollars

Indian mobile phone company Spice Telecom has said that they will sell 20 percent of its equity to raise about 300 million dollars.

The company aims to launch an IPO before the end of the year. Company chief Dilip Modi said in a statement that the IPO launch would be followed by another round to raise 350 million dollars over the next two years.

However, these plans would depend upon whether they manage to get permissions from the government to expand operations in other states.

Spice Telecom already has a presence in northern Punjab and southern Karnataka states. The aim is to invest enough to expand their services to all the parts of India to become a major telecom player in the country.

Telekom Malaysia owns around 49% of the company and they would also be interested in having a stronger presence in the Indian telecom market.