The telecom arm of Videocon Industries is looking out for possible buyers to sell off its 26% stake.

Videocon Telecommunications has currently 1.9 million subscribers and holds a market share of 0.31%. The company is eyeing a total valuations of Rs. 15000 crore.

In the past also, the company had initial rounds of discussion with South Korean company SK Telecom, UAE’s Etisalat and Turkey’s Turkcell.

The telecom company that has presently operations in areas like Tamil Nadu, Punjab, Haryana, Mumbai, Gujarat, Kerala, Madhya Pradesh, UP East, UP West and Himachal Pradesh. It also has plans to roll out its operations across the country.

However industry experts believe that the company has a very less number of subscribers and is not a lucrative deal to go for. As the investor purchasing the stake will have to bear the burden of losses for a period of three to five years. This is largely because f the wafer thin margins profit margins experienced by the telecom operators in the country.

Moreover the company has only spectrum to offer to the buying prospect.  The reason for this stake sale is to fuel Company’s future expansion plans in order to establish itself in the market.