Telecom stocks ring loud ahead of EGoM meet on 2G spectrum pricing today

Telecom stocks are ringing loud ahead of the outcome on an empowered group of ministers (EGoM) meet, led by Finance Minister Pranab Mukherjee, on key issues of 2G spectrum auction such as pricing and re-farming. The EGoM will take a final call after considering the analysis report of the Telecom Commission on the Telecom Regulatory Authority of India (TRAI) proposals, along with department of telecom's own recommendations on the issue.

Idea Cellular is currently trading at Rs 76.50, up by 0.25 points or 0.33% from its previous closing of Rs 76.25 on the BSE. The scrip opened at Rs 76.75 and has touched a high and low of Rs 76.95 and Rs 75.50 respectively. So far 90698 shares were traded on the counter.

Tata Communications is currently trading at Rs 221.00, up by 2.35 points or 1.07% from its previous closing of Rs 218.65 on the BSE. The scrip opened at Rs 220.00 and has touched a high and low of Rs 224.35 and Rs 220.00 respectively. So far 6114 shares were traded on the counter.

Reliance Communications is currently trading at Rs 63.05, up by 0.25 points or 0.40% from its previous closing of Rs 62.80 on the BSE. The scrip opened at Rs 63.10 and has touched a high and low of Rs 63.45 and Rs 62.45 respectively. So far 567847 shares were traded on the counter.

TRAI had recommended, among other proposals, a reserve price of Rs 3,622 crore for 1 Mhz pan-India spectrum, 10 folds higher than the price at which 2G licences were allocated in 2008 under then Telecom Minister A Raja. However, the operators have warned of a 100 percent hike in tariffs if the proposals are approved.