NEW DELHI, Dec 10 (Reuters) - Bharti Infratel Ltd, the telecommunications tower arm of top Indian mobile carrier Bharti Airtel, said it will allot shares worth $120 million to cornerstone investors as part of its up to $832 million initial public offering.
Investors including units of Morgan Stanley and Citigroup have agreed to buy 28.3 million shares of Bharti Infratel at 230 rupees ($4.22) apiece, the company said in a regulatory filing on Monday.
The share sale opens for public subscription on Tuesday and will close on Friday.
Bharti Infratel has set a price band of between 210 rupees and 240 rupees a share for the issue of 188.9 million shares, or 10 percent of its equity, in what will be the country's biggest IPO in two years.
Bharti Infratel is selling about 146 million new shares in the IPO, while four private equity investors including arms of Singapore state investor Temasek and Goldman Sachs are selling the remainder.
Bank of America Merrill Lynch, JPMorgan, Barclays, Standard Chartered, Deutsche Bank , HSBC and UBS, and India's Kotak Mahindra and Enam, are Bharti Infratel's advisers for the IPO. ($1 = 54.4750 Indian rupees) (Reporting by Devidutta Tripathy and Sumeet Chatterjee; Editing by Tony Munroe)