Reliance Communications' shareholders have given their majority approval to the company's decision of de-merging its optic fibre division, to facilitate the way for its ensuing merger with wholly-owned ancillary Reliance Infratel.

Announcing the approval received from the shareholders on Tuesday, Reliance Communications - the second largest telecom operator in India - said that with the proposed severance of business, leading to separation of telecommunications services and infrastructure, both Reliance Communications and Reliance Infratel would be able to focus on their core businesses.

In a regulatory statement issued to the effect, Reliance Communications said: "The demerger will help reduce set-up and operating costs resulting in cost efficiency coupled with greater financial flexibility."

Currently, the stock is trading down 48.41% from its 52-week high of Rs 587.70 and above 130.83% over the 52-week low of Rs 131.35.

As per the Wednesday figures, the total volume of Reliance Communications' shares traded at the BSE is 747,460. At present, the stock is trading down 48.41 percent from its year high of Rs 587.70, and up 130.83 percent over its year low of Rs 131.35.