Shares of Reliance Communications on Friday rose by nearly 4 per cent following reports that Chinese firm Citic Telecom is in talks with the company to buy a significant stake in its sub-marine cable business Global Cloud Xchange.

RCom's stock opened the day on a positive note and further gained 3.74 per cent to Rs 143.90 on the BSE.

On the NSE, the scrip gained 3.82 per cent to Rs 143.95.

"RCom have had discussions

with various players. Citic is one of them. Whenever and with whomsoever the deal is crystallised, proceeds will be used to lower debt," an industry source said on Thursday.

Sources said RCom has set a target to raise over Rs 6,000 crore (Rs 60 billion) from sale of Global Cloud Xchange, formerly Reliance Globalcomm.

RCom's net debt was Rs 40,178 crore (Rs 401.78 billion) as on March 31, 2014, according to the financial results of the company.

When contacted, an RCom spokesperson had said: "It is the policy of the company not to comment on speculation."